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Monthly Archives: June 2017
Cloud Computing Companies Move Into Medical Diagnosis (GOOG, IBM) – Investopedia
Posted: June 11, 2017 at 5:42 pm
Your next medical diagnosis could come from a cloud-based machine learning system. According to a Bloomberg report, Alphabet Inc. (GOOG) subsidiary Google is gearing up to provide "Diagnostics-as-a-Service" capabilities through its cloud division. The service will analyze reams of patient and disease data to diagnose patients and, possibly, recommend appropriate drugs for treatment. A German cancer specialist Alacris Theranostics GmbH is already working with Google's cloud division to carry out virtual clinical trials and virtual patient modeling. It uses these models to design drug therapies for patients. (See also: Google Creates New Cloud Group to Take On Amazon and Microsoft.)
Google is not the only cloud company targeting the healthcare industry. International Business Machine Corporation's (IBM) Watson, which uses a mix of artificial intelligence and cloud computing on the back end, analyzed medical data and images pertaining to 1,000 cancer patients last year and returned diagnoses that concurred with a human doctor's assessment in 99 percent of all cases. Amazon.com, Inc. (AMZN), which is a leader in cloud computing, lists genomic sequencing as one of the most prominent use cases of its service on its site. Last year, the National Cancer Institute announced a collaboration with Microsoft Corporation (MSFT) and Amazon to analyze cancer genomes and enable secure collaboration between researchers using the company's cloud services. (See also: Top Medical & Healthcare Software Companies.)
Healthcare spending on cloud services reached $3.73 billion in 2015 and is expected to increase to $9.5 billion by 2020. Primary use cases for this spending were data storage, email and software systems that increase efficiency. For example, telemedicine is rapidly gaining ground as a means to cut down on redundant costs associated with doctor visits for minor ailments. Medical diagnosis using cloud computing is a relatively new use case.
And it might be a while before the diagnostic use case becomes a reality. This is because such diagnoses requires healthcare providers to release critical data to cloud computing companies. A mix of regulatory and competitive advantage considerations may prevent them from doing so. The Bloomberg article quotes an analyst who says that medical data are likely to remain "locked up" with healthcare providers in the "foreseeable future." (See also: Investing in the Healthcare Sector.)
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Real Estate Weekly: Digital Realty Becomes A Cloud Computing … – Seeking Alpha
Posted: at 5:42 pm
Weekly Review
The REIT ETF indexes (VNQ and IYR) finished the week lower by 0.3% as the 10-year yield climbed 7bps following the UK elections. The S&P 500 (NYSEARCA:SPY) gained 0.3%. The homebuilder ETFs (XHB and ITB) were lower by 1.0% on the week. The commercial construction ETF (NYSEARCA:PKB) gained 0.2%.
(Hoya Capital Real Estate, Performance as of 12pm Friday)
Across other areas of the real estate sector, mortgage REITs (NYSEARCA:REM) finished the week higher by 0.5% and the international real estate ETF (NASDAQ:VNQI) declined 0.6%. The 10-Year Treasury yield (NYSEARCA:IEF) gained 7 bps on the week, recovering from YTD low yields earlier this week.
REITs are now higher by 0.8% YTD on a price-basis and higher by roughly 3% on a total-return basis. The sector divergences are quite significant: the Data Center sector has surged 24% while the retail-focused REITs have fallen double-digits. REITs ended 2016 with a total return of roughly 9%, lower than its 20-year average annual return of 12%.
REITWeek Recap
This week was NAREIT's annual REITWeek conference in New York City, the biggest industry conference of the year. We listened to about 25 presentations across all the major REIT sectors.
We came away with a slightly more positive outlook on the REIT sector as a whole. Retail REITs were unquestionably the major focus for many investors. The bifurcation between high-quality and low-quality retail space has intensified. High quality retail space in desirable locations continue to perform very well and, in many cases, the apparel downsizing has actually been a net positive as the vacated space has been put to more productive and higher-traffic uses. We detailed our judgments in "Short Squeeze May Send Mall REITs Surging."
We also published, "Obamacare Uncertainty Remains A Drag On Healthcare REITs," our update on the Healthcare REIT sector. We discussed that healthcare REITs have outperformed over the past quarter, but this outperformance is entirely attributable to plunging interest rates. Healthcare REITs are up 8% as the 10-year yield fell 45bps. Hospitals and skilled nursing REITs, the sub-sectors most exposed to changes in healthcare policy, continue to trade at substantial discounts as Obamacare crumbles and its replacement appears politically infeasible. While much of the media focus is on drug prices, labor costs are the true drivers of healthcare inflation. This is a structural allocation-of-resources issue within the American education system.
Finally, we also published our Net Lease update, "Retail Contagion Continues To Trouble Net Lease REITs" where we discussed that despite the significant decline in interest rates over the past quarter, net lease REITs have badly underperformed the broader REIT indexes, a worrying development for the sector. Net lease REITs are the most yield-sensitive REIT sector, but these REITs have not acted as bond-proxies so far this year. Investors have been rudely reminded of the significant retail exposures of these names. Credit issues with key tenants at Spirit Capital has dragged down the entire Net Lease sector. More than other REIT sectors, net lease REITs depend on their cost of capital advantage for acquisition-fueled growth. Spirit's credit issues may have meaningfully impaired the sector's competitive advantage.
Arguably the most significant piece of REIT news this week actually came after the conference, as Digital Realty (NYSE:DLR) announced a merger with DuPont Fabros (NYSE:DFT) to form a data center giant that appears more fortified to go head-to-head with the public cloud providers, Google (NASDAQ:GOOG) and Amazon (NASDAQ:AMZN). While demand has continued to be robust and outstripping supply, pricing power has been a concern among investors as companies have increasingly utilized public cloud solutions rather than using their own server racks in the data center. In many cases, both the public and private cloud are both located in these REIT data centers, but the rent per megawatt is lower when, for example, Amazon is the tenant rather than an individual mid-sized company. We think consolidation is the right move. We will write a full report on it early next week.
The six best performing REITs on the week were Dupont Fabros , LaSalle Hotels (NYSE:LHO), Diamondrock (NYSE:DRH), Pebblebrook (NYSE:PEB), Sunstone (NYSE:SHO), and CoreSite (NYSE:COR).
The six worst performers on the week were Care Capital (NYSE:CCP), National Retail Properties (NYSE:NNN), Store Capital (NYSE:STOR), Realty Income (NYSE:O), Digital Realty , and CubeSmart (NYSE:CUBE).
Economic Data
Every week, we like to dive deeper into the economic data that directly impacts real estate.
(Hoya Capital Real Estate, HousingWire)
Home Prices Continue To Rise As Mortgage Rates Continue To Fall
Core Logic's Home Price Index showed a 6.9% YoY rise in home prices in April, a slight deceleration from the 7.1% YoY rise in March."Mortgage rates in April dipped back to their lowest level since November of last year, spurring home-buying activity," said Dr. Frank Nothaft, chief economist for CoreLogic. "In some metro areas, there has been a bidding frenzy as multiple contracts are placed on a single home. This has led home-price growth to outpace rent gains. Nationally, home prices were up 6.9 percent over the last year, while rent growth for single-family rental homes recorded a 3 percent rise through April, according to the CoreLogic Single-Family Rental Index."
Zillow's April Case-Shiller forecast sees a 5.6% rise in home prices for April. Home price appreciation has reaccelerated in recent months after showing signs of slowing in early 2017 as mortgage rates shot up nearly 100bps from the summer 2016 lows. All else equal, lower mortgage rates lead to higher home prices.
Bottom Line
REITs fell 0.3% on the week as the 10-year yield climbed 10 bps. Hotels and retail REITs were the best performers. This week was the annual REITWeek conference in NYC. We came away with a more positive outlook on the REIT sector as a whole, especially the higher quality retail space.
Apartments and hotels have been upside surprises this year and have defied the headwinds from higher supply. Demand has been robust in both sectors and has largely offset higher supply. Digital Realty will merge with DuPont Fabros to form the largest data center REIT. Consolidation will allow these REITs to command better pricing power with the public cloud providers.
Please add your comments if you have additional insight or opinions. We encourage readers to follow our Seeking Alpha page (click "Follow" at the top) to continue to stay up to date on our REIT rankings, weekly recaps, and analysis on the REIT and broader real estate sector.
Disclosure: I am/we are long VNQ, SPY, CCP, COR, DLR, CUBE, SHO.
I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Additional disclosure: All of our research is for educational purpose only, always provided free of charge exclusively on Seeking Alpha. Recommendations and commentary are purely theoretical and not intended as investment advice. Information presented is believed to be factual and up-to-date, but we do not guarantee its accuracy and it should not be regarded as a complete analysis of the subjects discussed. For investment advice, consult your financial advisor.
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Why isn’t Cloud Computing in the 2017 Belmont Stakes? – FanSided
Posted: at 5:42 pm
May 20, 2017; Baltimore, MD, USA; Javier Castellano aboard Cloud Computing (2) races Julien R. Leparoux aboard Classic Empire (5) during the 142nd running of the Preakness Stakes at Pimlico Race Course. Mandatory Credit: Patrick McDermott-USA TODAY Sports
Why isnt Always Dreaming in the 2017 Belmont Stakes? by Cody Williams
French Open 2017: Womens results Final by John Buhler
Cloud Computing was not on the radar of many people coming into the Preakness Stakes. He opened at a 30-1 underdog. And though his odds drastically improved leading up to post time to 13-1, he was still considered a longshot. Yet, he came out of nowhere and was able to overtake Classic Empire on the final stretch to win at Pimlico Race Course.
However, the win for Cloud Computing eliminated the chance of a Triple Crown winner in 2017. Thus, the Belmont Stakes didnt hold the same meaning for him or for Derby winner Always Dreaming. As such, both Always Dreaming and Cloud Computing wont be running on Saturday in the 2017 Belmont Stakes.
But not running solely because theres no shot at the Triple Crown seems a bit petty. Is that the whole reason as to why Cloud Computing isnt running at the 2017 Belmont Stakes? The short answer is, of course, no.
Though many people only pay attention to horse racing during the Triple Crown races, its actually quite a long season. There are numerous races with big purses for the winner throughout the summer. Thus, a lot of trainers and owners are interested in seeing their horses do well in those races to complete the season.
Whats more, the Belmont Stakes is a notoriously grueling race. Weve seen former Triple Crown hopefuls win the Derby and Preakness only to come up short at the Belmont because of the length of the race.
Thus, with the prestige of the Triple Crown not on the line, it makes sense that Cloud Computings team would rather focus on the summer and not such a long race. Its unfortunate and takes away some of the drama, but it makes sense in the long run.
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Why isn't Cloud Computing in the 2017 Belmont Stakes? - FanSided
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Donald Trump’s State Visit To The UK Now In Doubt – HuffPost
Posted: at 5:41 pm
Two senior administration officials told New York Times reporter Glenn Thrush on Sunday that PresidentDonald Trumps visit to the United Kingdom is currently off the presidents schedule.
That report follows a story inThe Guardianthat said Trumps U.K. trip had been put on hold after he told British Prime Minister Theresa May he was worried about being met with mass street protests.
The conversation between the two leaders took place in recent weeks and was heard by a Downing Street adviser who was in the room, according to The Guardian.
The White House denied The Guardian report on Sunday.
The President has tremendous respect for Prime Minister May. That subject never came up on the call, a White House spokespersonsaid.
A spokesman for May said Sunday, The Queen extended an invitation to President Trump to visit the UK and there is no change to those plans.
The reported scheduling change comes just days after London Mayor Sadiq Khan reiterated last week that his country should not host a state visit in Trumps honor.
I dont think we should be rolling out the red carpet to the president of the USA in the circumstances where his policies go against everything we stand for, said Khan, who is Londons first Muslim mayor.
The presidentslammed Khan over his handling of the June 3 terror attack in London. Khan shot back, saying Trump had deliberately taken his assurances to Londoners out of context.
May sparked criticism earlier this year when she announced that Trump had been invited to visit the U.K. with full state honors. Thisweeks snap electionin Britain, however, threw the process into further doubt and Trump will be even more uncertain about a trip given the instability of Mays prospective minority government, according to HuffPost UK.
Labour Party leader Jeremy Corbyn welcomed reports of the visits cancellation on Sunday.
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Donald Trump’s Son Inadvertently Backs Up Comey’s Account Of Conversation With President – HuffPost
Posted: at 5:41 pm
WASHINGTON Donald Trumps eldest son seemed to confirm fired FBI director James Comeys account that the president expressed hopeComey would end the FBI investigation into former national security adviser Mike Flynns contacts with Russian officials, contradicting the presidents denial that he made such an appeal.
While defending his father in a Fox News interview with Judge Jeanine Pirro, a Trump ally, the younger Trump said there would have beenno ambiguity if the president had made the request to Comey during a Feb. 14 Oval Office meeting, despite the president and his personal lawyer disputing the exchange.
When he tells you to do something, guess what? Theres no ambiguity in it, theres no, Hey, Im hoping, Donald Trump Jr. told Pirro on Saturday, trying to explain that it could not have been a direct request. You and I are friends: Hey, I hope this happens, but youve got to do your job. Thats what he told Comey.
Comey immediately detailed the meeting in a memo, writing that Trump told him: I hope you can see your way clear to letting this go, to letting Flynn go. He is a good guy. I hope you can let this go.
The president has repeatedly denied Comeys account of the Feb. 14 conversation.
Comeys account is central to the question of whether Trump obstructed justice by asking Comey to end the investigation and then fired him when he did not.
The former FBI director on Thursday testified that he took it as a direction, given that the president had dismissed everyone else from the room to meet with Comey alone, before making the request. It also followed a previous one-on-one encounter in which Trump asked Comey to pledge his honest loyalty.
Trumps son attacked Comey for not taking action if he felt threatened by the president.
For this guy, as a politician, to then go back and write a memo: Oh, I felt threatened. He felt so threatened, but he didnt do anything, Trump Jr. said.
Comey testified that he asked Attorney General Jeff Sessions to not allow Trump to meet with him alone. But he did not feel it was appropriate to tell Sessions about Trumps request, fearing it would impede the larger FBI investigation into the Trump campaigns ties to Russian officials.
Sessions, who met at least twice with Russian ambassador Sergey Kislyak last year, later recused himself from matters involving the Russia investigation. Comey revealed Thursday that at the time, he and FBI colleagues knew that Sessions would have to recuse himself because they may have discovered even more compromising information involving Sessions.
In response to his testimony, Trump and his allies have continued to dispute Comeys detailed recollections and attack the fired FBI directors character, while simultaneously claiming that his testimony vindicated the president. On Friday, Trump accused Comey of committing perjury, and said he would be 100 percent willing to testify under oath to dispute Comey.
This story has been clarified to note that Trump Jr. was explaining that his father could not have meant his possible comments to Comey as a direct request.
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Salma Hayek Reveals How Donald Trump Allegedly Asked Her Out, and It’s Gross – PEOPLE.com
Posted: at 5:41 pm
Remember how Salma Hayek claimed she turned down a date with Donald Trump? Now, the actress is offering up the story straight.
During a Thursday appearanceon The Daily Show with Trevor Noah,the 50-year-old Beatriz at Dinner star revealed the details behind how the now-president attempted to court her even though she wasnt single. According to Hayek, it started when she got cold at an event and Trump, who was sitting behind her, immediately put his coat over her shoulders.
I turn around and my boyfriend so charming, so nice he said hello [to Trump], she recalled of the initial interaction at an event years ago. [Trump] said, Im sorry, your girlfriend, I saw she was cold. And then he kept talking to my boyfriend.
According to the actress, Trump, 70, kept talking to her boyfriend. He then allegedly invited the couple to visit his hotel in Atlantic City, New Jersey, if they were ever in town, asking for their phone numbers and never calling her boyfriend, but eventually ringing up Hayek separately instead.
RELATED VIDEO: Salma Hayek Claims Donald Trump Planted a Story About Her After She Denied Him a Date
Hes inviting me out, and Im like, What about my boyfriend? Am I crazy? Are you asking me out? You know I have a boyfriend, she says, adding that Trump responded with, Hes not good enough for you. Hes not important, hes not big enough for you. You have to go out with me.
Trevor Noah jokes that Trump was right since Hayek didnt end up with that boyfriend. Instead, she married French billionaire Franois-Henri Pinault, with whom she shares 9-year-old daughter Valentina Paloma, in 2009.
RELATED VIDEO: Watch: Natasha Stoynoff Breaks Silence, Accuses Donald Trump of Sexual Attack
RELATED:Salma Hayek Calls Out Donald Trump After Mixing Up 7-Eleven with 9/11
Hayeks recollection of the courting attempt comes some months after she initially revealed she turned the reality-television alum down after which, she claimed, heplanted a tabloid story about her, supposedly giving the reason they didnt date as her being too short.
Later, he called and left me a message. Can you believe this? Who would say this? I dont want people to think this about you, the Mexican-born actress, who has been outspoken about her opinion on Trumps Mexican border wall proposition, said in October.
He thought that I would try to go out with him so people wouldnt think thats why he wouldnt go out with me, added the How to Be a Latin Lover star.
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Will Donald Trump’s anti-Muslim words on travel ban hurt his case? – USA TODAY
Posted: at 5:41 pm
Here's a look at some of the comments made by Trump and his advisers that have been cited by judges that have blocked his travel ban. USA TODAY
A lone protester stood outside the U.S. Court of Appeals for the 9th Circuit in San Francisco in early February, as legal wrangling over President Trump's travel ban was just getting started.(Photo: JOHN G. MABANGLO, EPA)
WASHINGTON It's been 18 months since Donald Trump,presidential candidate,called for "a total and complete shutdown of Muslims entering the United Statesuntil our countrys representatives can figure out what the hell is going on."
It's been nearly six months since Trump, as president-elect, was asked if terror attacks in Europe had affected his proposed Muslim ban. "You know my plans," he said. "All along, I've been proven to be right."
And it's been less than a week since President Trump trumpeted the travel ban he first proposed in January, which would have shut down virtually all travel from seven majority-Muslim countries while giving Christians preferential treatment. "The Justice Dept. should have stayed with the original Travel Ban, not the watered down, politically correct version they submitted to S.C.," he tweeted.
Now "S.C." the Supreme Court may have the last word on whether Trump's words matter. The justices could decide as soon as this week whether to overrule lower courts and let the travel ban go into effect temporarily, as well as whether to rule on its overall constitutionality. Oral arguments could be held within weeks, or later in the year. Ultimately, the ban could be implemented or permanently blocked.
Trump's statements lie at the heart of the legal battle federal courts from Virginia to Hawaii have wrestled with since February in deciding whether the president's temporary travel ban is constitutional.While the fighthas raised questions aboutnational security, presidential power and due process rights, what's garnered the most attention has been whether Trump's rants and tweets trump his actions.
"It's a genuinely difficult question," says Kate Shaw, an associate law professor at Benjamin N. Cardozo School of Law, who says Trump's words reveal his intentions. "This is not a question that the Supreme Court has resolved."
Read more:
What President Trump has said about the travel ban
President Trump's travel ban rhetoric has divided judges across nation
Trump's immigration travel ban faces familiar foe in appeals courts: Trump
Trump was one of 14 Republican candidates still seeking his party's presidential nomination on Dec. 7, 2015, when he made his first statement about Muslim immigration. Now he's the president who twice hassought a temporary ban on immigrants from predominantly Muslim nations with ties to terrorism, as well as all refugees.
Did the campaign rhetoric presage the presidential policy?Most of the judges who have issued rulings on Trump's travel ban a name the president embraced in all CAPS as recently as this week have said his statements as a candidate, president-elect and president are relevant.
"These statements, taken together, provide direct, specific evidence of what motivated both (executive orders): President Trumps desire to exclude Muslims from the United States," Chief Judge Roger Gregory wrote for the U.S. Court of Appeals for the 4th Circuit in a 10-3 ruling last month.
Protesters march outside the U.S. Court of Appeals for the 4th Circuit in Richmond last month during oral argument over President Trump's travel ban.(Photo: Steve Helber, AP)
But severaljudges have argued that campaign promises should be off-limits, or at least dwarfed by government actions that are not overtly discriminatory.
"Opening the door to the use of campaign statements to inform the text of later executive orders has no rational limit," Judge Paul Niemeyer wrote in dissent to the 4th Circuit decision. He mused that such past history could extend to "statements from a previous campaign, or from a previous business conference, or from college."
Judges in California, Hawaii, Maryland, Massachusetts, Virginia and Washington have weighed in on the question this winter and spring, raising a number of issues that are likely to come before the Supreme Court as soon as later this month.
The majority of them have said courts can and should examine the purpose behind government actions; that Trump's words reveal hispurpose to be, at least in part, banning Muslims; that his initial focus on Iran, Libya, Somalia, Sudan, Syria and Yemen is but a means to that end; and that Trump the president cannot claim to be different thanTrump the candidate.
Just as the Supreme Court has held that 'the world is not made brand new every morning, a person is not made brand new simply by taking the oath of office, said Judge Leonie Brinkema of the U.S. District Court for the Eastern District of Virginia.
Her reference was to a Supreme Court ruling in 2005, in which Justice David Souter wrote that two Kentucky counties could not hide the unconstitutional religious purpose of their Ten Commandments courthouse displays by later adding additional documents.
"Reasonable observers have reasonable memories," Souter wrote. "Our precedents sensibly forbid an observer 'to turn a blind eye to the context in which thepolicy arose.'
But Mathew Staver, who represented the two counties before the Supreme Court, says the original display and later versions all represented government actions. "Here, you have comments by the president before he was president," Staver says. "That is fundamentally different."
Justice Anthony Kennedy, here with President Trump at the White House, could be the swing vote on the travel ban case.(Photo: JIM LO SCALZO, EPA)
In Trump's case, some travel ban opponents say, one doesn't need a long memory because he never stopped talking in stark terms about the travel ban.
There is a continuous run of statements from the campaign, through the election, through the inauguration and right up to this week," says Micah Schwartzman, a University of Virginia School of Law professor specializing in religion. "The president has never expressly disavowed those earlier statements."
Judges and legal analysts who defendthe travel ban argue that Trump's words and those of his aides cannot form the basis for a constitutional violation. It takes too much interpretation, they say, to read anti-Muslim bias into an executive order devoid of religious content.
The policy he spoke about is not in any way the policy that was passed, saysNorthwestern University law professor Eugene Kontorovich, who specializes ininternational law.Its not clear this is about Muslims. This is about countries that everyone agrees are among the worlds most messed up.
Even so, the Supreme Court has said judges can look beyond the challenged policy in cases involving religious libertyor civil rights to determine if there was another purpose, or if the stated purpose was a sham. Justice Anthony Kennedy, who could be the swing vote in the travel ban case, made that point in a 2015 rulinginvolving the government's denial of a visa to a U.S. citizen's husband.
Even though the court upheld the visa denial, Mark Haddad, who represented the womanin court, said Kennedy's cautionary view shows that courts should not take government policies at face value.
There has to be a way to show that the governments acting in bad faith," Haddad says. "Otherwise, the check on the governments power is non-existent.
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Yes, Donald Trump is an incompetent buffoon but he’s still a major threat to democracy – Salon
Posted: at 5:41 pm
Donald Trumps presidency has been every bit asamateurishand chaotic and ridiculous as his campaign was. As time has elapsedmany of those who were terrified at first have come to view the president as aclown who is in way over his head. Utter uncertainty prevailed duringthe months between Trumps election in Novemberand his January inauguration,andmany were genuinely concerned thatTrump would quickly become a tyrant once in office, using the power of the presidency to go after his enemies and silence his critics.
It has now been nearly five months since Trump became president, and the full-blown panic that was in the air earlier this year haswaned. Trump has yet to impose martial law, imprison his critics or crack down on the free press. In fact, the Trump administration has been positively incompetent. The White House has been plagued by major policy setbacks and political scandals, and the presidents most notable executive orders have been struck down by the courts as unconstitutional. Trump and his team seem to have entered Washington without a clue as to how things work, and the dealmaker-in-chief has made no deals whatsoever on Capitol Hill. President Trump has also made some embarrassing and costlyblunders himself usually in the form of tweeting late at night while his babysitters are in bed. (Case in point: The presidents recent tweets on the travel ban will likely damage his efforts to restore it.)
It is understandable, then, that many have come to view Trump and his presidency as more of an embarrassing joke than an existential threat to our democracy. The president seemstoo great a foolto pose a real threat to the republic.
This notion was recentlyaddressed by Russian journalist Masha Gessen inacolumn for the New York Times,in which she argues thatTrumps Incompetence Wont Save Our Democracy, and looks back at some of historys most successful tyrantsto make her point:
A careful reading of contemporary accounts will show that both Hitler and Stalin struck many of their countrymen as men of limited ability, education and imagination and, indeed, as being incompetent in government and military leadership. Contrary to popular wisdom, they are not political savants, possessed of one extraordinary talent that brings them to power. It is the blunt instrument of reassuring ignorance that propels their rise in a frighteningly complex world.
Gessen also notes that Vladimir Putin, whom she has interviewed and written extensively about and who is perceived by many as a cunning political genius is a poorly educated, under-informed, incurious man whose ambition is vastly out of proportion to his understanding of the world. (This seems to be a perfectly apt description of Trump as well even if the American presidents ignorance of the world seems to be in a class of its own.) Gessen concludes that it is Trumps insistence on simplicity that makes him want to rule like an autocrat, and that militant incompetence and autocracy are not in opposition: They are two sides of a coin.
This is an important point that should dissuade people from underestimating Trump after his rockystart. After all, most people underestimatedthe billionaire throughout his campaign for many of the same reasons, and he had the last laugh. Though the Trump administrations incompetencehas been something to behold, this shouldnt detract from the very real authoritarian leaningsthat the president has displayed.
Trumps firing of FBI Director James Comey because of his investigation into Russias interference in the electionwas the clearest sign yet that the president has no respect for the rule of law or the separation of powers. But the presidents authoritarian tendencies have been apparent from day one whether it be inlabelingthe press the enemy of the people, attacking federal judges who rule against his policies, or describingthe constitutional system of checks and balances is archaic and a bad thing for the country.
Of course, there has also been a great deal of unhelpful hysteria coming from certainliberals.Aparanoid style of politics has taken hold of many Democrats, andTrump critics have becomeincreasingly ready to believe conspiracy theories and fake newsparticularlywhen it comes to Russia or to embracefar-fetched theoriesabout how the Trump administrationsfailures are really part of a master plan.
In an article for the Guardian last month, leftist author Corey Robincriticized liberals for this hysteria and credulity, andpointedoutthat Trump hasnt even attemptedto fill the vast majority of positions in the executive branch since becoming president. Its a strange kind of authoritarian who fails, as the first order of business, to seize control of the state apparatus, observes Robin, who goes on to blast liberalsfor taking the presidents words (or, in many cases, tweets) far too seriously. Trump has always thought his words were more real than reality. Hes always believed his own bullshit. Its time his liberal critics stopped believing it too, he writes.
Robin makes a valid point, and it is certainly time forliberals tobrush up on their critical thinking skills. That doesnt mean we should stop taking Trumps authoritarian threatsseriously. And just because the Trump administration has been an incompetentmess until now doesnt mean that the danger isnt real. Trump has yet toimprison his political opponentsor crack down on the media or impose martial law in Chicago, buthe hasthreatened to do suchthings, which is dangerous in and of itself.
Trump is no mastermind, and he has little understandingof how the government works. In the long run, the big donors who have come to dominate American politics over the past 40 years probably pose a greater hazard to democracy than Donald Trump.But any leader who breaks as many democratic norms as our president has over the past few months mustbe regarded as a legitimatethreat to democracy, no matter how ludicroushe appears while doing it.
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Yes, Donald Trump is an incompetent buffoon but he's still a major threat to democracy - Salon
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Democrats bet on Trump in Virginia governor’s race – Politico
Posted: at 5:41 pm
Virginias Democratic primary on Tuesday is shaping up to be the first real test of liberalism in the Trump era, with both candidates lurching for increasingly leftward policies to position themselves in contrast with President Donald Trump.
Lt. Gov. Ralph Northam has used TV ads to call Trump a narcissistic maniac. Former Rep. Tom Perriello has proclaimed that Trump is an authoritarian. Both candidates have taken decidedly liberal positions on abortion, guns, criminal justice and college tuition while using Trump bashing as a foundation of their campaigns. While Northam has the support of the Democratic establishment throughout Virginia and Perriello brings a potent Bernie Sanders endorsement to the primary, the simmering question for the winner is how this race to the left in the Democratic primary which may appeal to Northern Virginia Democrats will play across the rest of the state in the general election.
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Virginia's gubernatorial elections often develop into contrasts with a new president, but there's a stark difference between now and how Republican candidate Bob McDonnell handled then-President Barack Obama in 2009. While critical of Obama's economic record, the future governor also regularly praised Obama for supporting school choice, straddling the partisan divide.
The Democrats have felt no need to do the same with the less popular Trump, whose approval rating was at 36 percent in a recent Washington Post-George Mason University poll of Virginia.
Let's prove that Donald Trump's values are not Virginia values, Perriello says in one of his closing television ads. Northam has arguably gone further, using his TV campaign to call Trump a narcissistic maniac though Perriello answered Thursday with an ad of his own calling Trump "authoritarian," and invoking Virginia's motto: "Sic Semper Tyrannis," a shortened version of a Latin phrase meaning "Thus always I bring death to tyrants." Perriello has also lined up Khizr Khan who became famous for his Democratic National Convention speech invoking his son, who died in the Iraq War, and slamming Trump to campaign with him on Monday, the day before the primary.
Rep. Gerry Connolly, the only Democratic member of Virginias congressional delegation to remain neutral in the primary the others have all lined up behind Northam said its unclear whether voters will respond to Perriellos vision of the governorship.
Can Tom ride the anti-Trump wave, which is very strong here in Northern Virginia? Connolly pondered in a recent phone interview. Can he make the case that the governors office should be a platform for the resistance?
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Invoking the resistance comes more naturally to Perriello than it does to Northam. It was former staffers of Perriellos who wrote the Indivisible guides, which have inspired dozens of local liberal-leaning groups that have poked and prodded their members of Congress on Trumps Russia scandals and the GOP health care repeal plan.
Northam, by his own admittance, is less of a firebrand and more unassuming than Perriello. But he has dived headlong into the anti-Trump-themed primary, too, when he unveiled the narcissistic maniac attack on Trump in his stump speech and later in TV ads.
We experienced in 2016 this campaign of Mr. Trumps that was run of fear, bigotry, hatred and a lot of misinformation, Northam said in an April interview. In politics, you tend to react to whats going on around you. Theres been an awakening going on across Virginia, and I suspect across this country. I worry a lot about whats going on in Washington.
Northam, a pediatric neurologist, has defended the narcissistic maniac line as both politically effective and medically appropriate. When Meet the Press host Chuck Todd pressed him on its use recently, Northam didnt back down.
Theres a lot of overlap between psychiatry and neurology, and I would invite the viewers to look up the criteria for narcissism, he said, adding: I think theyll see some familiarity with what theyll see.
The results of the Republican primary have been in less doubt than the Democratic contest, but Trump has made waves in that race nonetheless.
Underdog candidate Corey Stewart, the Prince William County Board of Supervisors chairman, has argued that front-runner Ed Gillespie, a former Republican National Committee chairman, is less than sincere in his backing of the under-fire Republican.
Lt. Gov. Ralph Northam, by his own admittance, is less of a firebrand and more unassuming than former Rep. Tom Perriello. But he has dived headlong into the anti-Trump-themed primary, too, when he unveiled the narcissistic maniac attack on President Donald Trump in his stump speech and later in TV ads. | AP Photo
Stewart (who was Trumps Virginia campaign chair for much of 2016 but was fired in October) stands next to a smiling Trump in his closing TV ad, while a narrator declares: Corey Stewart supports President Trump. Not Ed Gillespie. In a debate outside Richmond this spring, Stewart attacked Gillespie for criticizing Trump after the release of the Access Hollywood tapes that showed Trump bragging about sexually assaulting women.
Ed was among the first Republicans in the country to kick him when he was down, Stewart said.
Gillespie responded by noting Trump himself apologized for the remarks. Coreys the only one who thinks theyre great comments, he said.
Invoking Trump has not given Stewart much traction; last months Washington Post poll found Gillespie with a lead of 20 percentage points in the primary. A plurality also thought Gillespie was the strongest Trump supporter in the race.
Yet Trumps brand of politics would seem an ill fit with what Gillespie has practiced as a political operative, 2014 Senate candidate and gubernatorial contender. Gillespie repeatedly pledges to be the governor of all Virginians, has released television ads in Spanish and Korean, and has mentioned his familys immigrant roots in web videos. In his 2014 Senate campaign, Gillespie made extensive outreach to Northern Virginia Muslim communities.
Still, Gillespie has largely avoided breaking with Trump. While GOP governors in blue states like Maryland, Vermont and Massachusetts have criticized his handling of the travel ban or his decision to pull out of the Paris agreement on reducing carbon emissions, Gillespie has resisted putting distance between himself and the president.
After an event in Northern Virginia on Wednesday, Gillespie was asked why his campaign ads didnt feature Trump the way his competitors did. His response was 45 seconds long, and he never said the presidents name, while every TV in the state features Northam and Perriello talking about Trump before Tuesday's primary.
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Why test for bankruptcy law is a larger test for India – The Indian Express
Posted: at 5:40 pm
Written by Shaji Vikraman | Updated: June 12, 2017 12:38 am There is heightened attention on the new process because existing laws and mechanisms such as corporate debt restructuring, which were meant to address the issue of bad debt, havent quite worked.
Indias new bankruptcy law which came into force at the end of last year, about 18 months after it was formally proposed in early 2015 will face its first test later this month when the resolution plan for Kolkata-based Nicco Industries is adjudicated. The adjudication process will signal whether the sick company can be restructured or shut down swiftly within 180 days of the case being registered.
Over 1,000 applications for resolution have been filed, more than 100 of which have been admitted by the arbiter, the National Company Law Tribunal or NCLT, which is expected to decide on the fate of many non-financial firms within 180 days.
Read | Explaining the Bankruptcy law and the need to have one
Closely watching the working of the Bankruptcy Code the rules for which have been framed by the Insolvency and Bankruptcy Board of India or IBBI, which regulates the professionals handling the process will be banks sitting on a mountain of bad debt of over Rs 6 lakh crore, Indias central bank, which is now mandated to direct local lenders to quickly resolve hundreds of cases of firms that have defaulted on their loans and gone belly up, as well as investors known as vulture funds in the West who swoop on such assets, hoping to buy them at rock bottom rates, and make money down the line, following a turnaround.
There is heightened attention on the new process because existing laws and mechanisms such as corporate debt restructuring, which were meant to address the issue of bad debt, havent quite worked.
By the end of this year by when the mandatory 180-day deadline for resolution is reached in a few other cases as well the initial experience of an important reform will be manifest. The stakes are high because the way in which the bankruptcy process evolves, will be crucial for boosting the countrys ranking in the Ease of Doing Business sweepstakes. A little after his government took over, Prime Minister Modi had said that the aim was to take India from a ranking of 142 in 2014 to the top 50 in three years.
There is much more at stake. Speedy resolution of the debt woes of lenders will mean freeing up of capital for fresh lending to Indias businessmen, including small and medium entrepreneurs and industry. It will lead to a more efficient allocation of resources, as well as the development of a market for secondary assets, which the country badly needs rather than the destruction of value of assets, which inevitably results from long delays in settling cases. This will count significantly for banks and lenders in India who, under the looming shadow of investigative agencies, currently baulk at taking decisions such as those on a haircut or accepting a lower value of assets. It is a new experience for India to have a group of lenders or equity or debt holders to approach the NCLT to establish default. If the Tribunal is satisfied and admits the case, a set of people known as insolvency professionals chartered accountants, cost accountants or company secretaries who are regulated by the IBBI, step in. They prepare a resolution plan, which involves restructuring where possible, or liquidation where it is concluded that nothing will work and it is better for the firm to die. The plan must be approved by 75 % of the voting share of creditors, and then sanctioned by the adjudicating authority, the NCLT.
For the new band of insolvency professionals too, it will be a learning process to take de facto interim charge of the firms. They too will be tested. By the end of the year, the number of registered insolvency professionals could top 1000.
Perhaps it would be pragmatic to expect equity and debt holders to try out this route for only some of the worst cases in the initial phase. Theres a good reason. The market for buyouts of distressed assets is yet to develop which means that those whose money is at stake may have to settle for a lower value. Over the next few years, as professional insolvency services improve and the ecosystem for an efficient resolution develops, the impact of this reform will be felt, according to M S Sahoo, who heads the IBBI.
Indias Bankruptcy Code is modelled on the lines of what is in vogue in the US, which has what are known as Chapter 7, 11 and 15 bankruptcies, and the United Kingdom, where resolution has to be within 12 months.
The way the resolution process works in the initial phase will influence decisions to take recourse to it for addressing bigger cases of default. For that, India will need to equip the NCLT better the Tribunal has started off with 11 benches, which could be too few given the huge number of cases that could potentially come up. The bigger challenge will be at the time when cases of individuals are taken up for resolution this is expected a year or so down the line. It would mean putting in place Debt Recovery Tribunals across the country, where individuals can seek to recover their money. And also when the resolution process begins for financial firms like banks which need to be either revived or shut down.
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