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Trump: Newly released FBI texts are ‘bombshells’

President TrumpDonald John TrumpTillerson: Russia already looking to interfere in 2018 midterms Dems pick up deep-red legislative seat in Missouri Speier on Trump’s desire for military parade: ‘We have a Napoleon in the making’ MORE on Wednesday highlighted newly released texts from FBI agents who suggested President Obama wanted updates on the Hillary ClintonHillary Diane Rodham ClintonOvernight Cybersecurity: Tillerson proposes new cyber bureau at State | Senate bill would clarify cross-border data rules | Uber exec says ‘no justification’ for covering up breach Grassley to Sessions: Policy for employees does not comply with the law ‘Homeland’ in the Trump era tackles the ‘deep state’ MORE email investigation.

“NEW FBI TEXTS ARE BOMBSHELLS!” Trump tweeted.

Fox News reported that texts between FBI agent Peter Strzok and FBI attorney Lisa Page included an exchange about preparing talking points on the Clinton email probe for then-FBI Director James ComeyJames Brien ComeyGrassley to Sessions: Policy for employees does not comply with the law Protecting the special counsel is an American duty Bannon likely to meet next week with Mueller: report MORE to give to Obama, who “wants to know everything we’re doing.”

The pair also worked on special counsel Robert MuellerRobert Swan MuellerSasse: US should applaud choice of Mueller to lead Russia probe MORE‘s team investigating Russia’s interference in the 2016 election, and whether Trump’s campaign was involved.

Some Republicans argue the new exchange is evidence that Obama was more involved in the Clinton email probe than previously known.

But the texts were sent in September, roughly two months after Comey announced he would not recommend criminal charges against Clinton for using a personal email server as secretary of State.

Nevertheless, Trump and his GOP allies have seized on Strzok and Page’s texts as proof that the Russia investigation is politically motivated.

The two criticized Trump in a series of previously released text messages during the 2016 campaign, but they were also critical of other politicians.

Democrats accuse Trump of using the texts to undermine special counsel Robert Mueller’s investigation, which is looking into whether the president obstructed justice and whether any ties exist between Moscow and his campaign.

Trump latest tweet came 10 minutes after his daily intelligence briefing was set to begin, suggesting the president was running behind schedule.

Why Trump’s military parade won’t be ‘like the one in France’

BERLIN — Russian President Vladimir Putin has them. So does North Korean leader Kim Jong Un and French President Emmanuel Macron.

Now, President Trump wants his own military parade in Washington, with soldiers marching and tanks rolling down the boulevards. Officials told The Washington Post on Tuesday that they have begun planning a grand military parade later this year showcasing the might of America’s armed forces.

“The marching orders were: I want a parade like the one in France,” a military official who spoke on the condition of anonymity told The Post, which noted that shows of military strength are not typical in the United States. The last of its kind took place in June 1991, when 8,800 U.S. troops and the weapons that helped the United States win the Persian Gulf War against Saddam Hussein were celebrated in Washington.

But in Europe, defense scholars immediately raised questions about whether Trump’s desired military parade would really fall into the same category as France’s Bastille Day parade, which is held annually and is deeply rooted in the country’s history and values. Although Trump’s parade, like the French one, would feature the nation’s military might, it might send a very different message, some European defense analysts and columnists said.


Republican Guards marched at the annual Bastille Day military parade on the Champs-Elysees avenue in Paris last year. (Jean-Sebastien Evrard/AFP/Getty Images)

“For the record: France’s Bastille Day military parade is an old tradition, going back to 1880. Its longevity and popularity have many historical reasons. Probably different from Trump’s motivations,” wrote Sylvie Kauffmann, an editorial director and columnist with the French newspaper Le Monde and a contributing writer to the New York Times, summarizing a widely shared sentiment in Europe on Wednesday.

Whereas France’s Bastille Day — founded to celebrate the turning point of the French Revolution — has been associated with an annual military parade for more than a century, efforts to combine a similarly patriotic holiday with a military parade in Washington might strike many foreign observers as odd timing. Why now?

To White House press secretary Sarah Huckabee Sanders, the answer appeared clear Tuesday evening: “President Trump is incredibly supportive of America’s great service members who risk their lives every day to keep our country safe,” Sanders said. “He has asked the Department of Defense to explore a celebration at which all Americans can show their appreciation.”


U.S. troops marched during the annual Bastille Day military parade on the Champs-Elysees in Paris last year. (Alain Jocard/AFP/Getty Images)

But a military parade in Washington would likely be perceived as a more timely political message from a single individual to the nation and, indeed, to the world, along the lines of: Look at how strong we (and I) are.

“People are going to compare it more with Kim Jong Un than with the Champs-Elysees,” said Nicholas Dungan, a France-based senior fellow with the Atlantic Council. “If (a parade is organized due to a) personal desire of Trump, because he sat at the Champs-Elysees, then it becomes political. In France, the parade isn’t political, though. It’s part of this nation.”

France’s Bastille Day parade, which has persisted through two world wars and a Nazi occupation, has also been used to emphasize a very different message, which could be summarized as: We are only strong together. What Trump may have missed while watching the Paris parade last July was that its organizers have frequently invited foreign troops — from Morocco and India to the United States, Britain and Germany — to march alongside French soldiers or to even lead the procession. Instead of the French flag, French soldiers sometimes carry the European Union flag, even though the political bloc does not have its own army.

“Especially the decision to invite German troops to the Champs-Elysees involved a lot of symbolism,” said Thomas Gomart, director of the French Institute of International Relations. “In the collective French memory, German troops last marched on the Champs-Elysees in June 1940,” said Gomart, referring to the date when the Nazis occupied Paris. Rather than sending a message of aggression, French leaders have used their annual parade to also set a pacifist agenda.


French President Emmanuel Macron, right, and President Trump attend the traditional Bastille Day military parade in 2017. (Michel Euler/AP)

On a continent where Trump has never had many supporters, defense analysts worried on Wednesday whether the president’s possible misunderstanding of military traditions was a sign of a broader problem. “At what point does healthy appreciation for the military turn into unhealthy obsession?” asked German defense expert Marcel Dirsus. Brian Klaas, a fellow at the London School of Economics, referred to Trump’s plan as a “strongman military parade” and  an addition to “Trump’s wannabe despot checklist.”

Those concerns echoed similar European responses that have emerged throughout Trump’s first year in office. When Trump warned North Korea of “fire and fury” last summer, analysts wondered whether he was aware of the catastrophe that would result from an attack with  nuclear weapons.

After Trump emphasized the size of his “nuclear button” in January, observers from the United States and elsewhere criticized the remarks as “infantile” and ill-advised.

“Trump plays with the subject so carelessly and recklessly as if it were some kind of video game,” Aaron David Miller, a fellow at the Woodrow Wilson International Center for Scholars who has advised several secretaries of state, said on Twitter. “My head’s exploding.”

The way Trump discusses nuclear weapons echoes a pattern observed among military officials in the past, researchers have noted. They were referring to a 1985 study by Carol Cohn, who analyzed military remarks that compared nuclear war with “an act of boyish mischief.”

Cohn said that those kinds of remarks were an expression of a “competition for manhood” and “a way of minimizing the seriousness of militarist endeavors, of denying their deadly consequences.” She concluded that they posed a “tremendous danger” in real life.

Size appears to have mattered in Trump’s desire to organize a military parade in Washington, too.

“It was one of the greatest parades I’ve ever seen,” Trump told reporters last year, referring to the Bastille Day celebrations. “It was two hours on the button, and it was military might, and I think a tremendous thing for France and for the spirit of France.”

He added: “We’re going to have to try to top it.”

French gendarmerie and police motorcyclists ride in formation down the Avenue des Champs-Elysees during the traditional Bastille Day military parade in Paris. (Reuters)

James McAuley in Paris contributed to this report.

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‘Fake news’ and the Trumpian threat to democracy

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Senate leaders reach agreement on two-year budget deal, adding billions of dollars in federal spending

BREAKING: Senate leaders have reached an agreement on a two-year budget deal, adding billions of dollars in federal spending.

The bipartisan accord would lift statutory budget limits by more than $200 billion and provide tens of billions of dollars in disaster relief funding.

Senate leaders unveiled the deal Wednesday after months of negotiations — and after Senate Democrats agreed to set aside immigration policy demands.

The plan still faces head winds — particularly in the House, where conservative Republicans are balking at the increased spending and liberal Democrats want further assurances on immigration.

The announcement came as Congress faces yet another government shutdown deadline of Thursday at midnight.

This is a developing story and will be updated.

House Minority Leader Nancy Pelosi said Wednesday that she and “a large number” of fellow Democrats will oppose a spending deal to keep the government open unless she’s guaranteed a vote on immigration legislation.

The move came amid rising fury from House liberals and immigration activists as congressional leaders appeared on the cusp of announcing a massive two-year budget deal without a fix for “dreamers.” Although it was not immediately clear how many Democrats would follow Pelosi’s lead, her announcement raised new uncertainty about whether congressional leaders would be able to finalize the deal as planned Wednesday.

The rumored budget deal to bust spending caps for the military and domestic programs and pile hundreds of billions of dollars onto the debt already faced a threatened rebellion from the right, as House conservatives fumed about the increased spending.

Without congressional action, the government will begin to shut down Thursday at midnight.

In the Senate, Majority Leader Mitch McConnell (R-Ky.) brought a government shutdown to an end last month by guaranteeing a floor debate on immigration. Pelosi (D-Calif.) said she wanted the same commitment from House Speaker Paul D. Ryan (R-Wis.).

“Without that commitment from Speaker Ryan, comparable to the commitment from Leader McConnell, this package does not have my support nor does it have the support of a large number of members of our caucus,” Pelosi said.

Undocumented immigrants who arrived in the country as children, known as “dreamers,” are on the verge of losing their work permits after President Trump ended the program that protects them from deportation. Democrats had sought to use their leverage on spending legislation to achieve a fix for the dreamers, but without success.

Ryan spokeswoman AshLee Strong said that the speaker “has already repeatedly stated we intend to do a DACA and immigration reform bill — one that the president supports.” Trump moved last year to end the Deferred Action for Childhood Arrivals program, which has given legal status to hundreds of thousands of dreamers, as soon as next month.

With the budget deal not expected to address the dreamers or any other immigration issue, Pelosi has to answer to angry members of her base and try to placate them.

She is facing massive internal pressure from immigrant supporters in her caucus, who have pushed relentlessly in recent months to use what little leverage they have in the House minority to secure protections for dreamers. Of 193 voting House Democrats, only 45 supported the deal that reopened the government after a three-day shutdown last month.

Rep. Luis V. Gutiérrez (D-Ill.), an outspoken leader of the party’s Latino bloc, said Tuesday that any budget deal that does not protect dreamers would represent “a complete betrayal of a key, core principle” for Democrats and compared it to party leaders agreeing to close down Planned Parenthood clinics or ending federal recognition of same-sex marriages.

“Look, I can’t make it any clearer,” he said. “I would have to go back to the Democratic caucus and denounce any such proposal and anybody that was involved in making it. I cannot be a Democrat in good standing if they’re not going to share values.”

Pelosi made the announcement as she commandeered the House floor in an unusual maneuver, using rules that allow House leaders to speak on the floor as long as they want. She used the time to tell the stories of one dreamer after another.

“Why should we in the House be treated in such a humiliating way when the Republican Senate leader has given that opportunity in a bipartisan way to his membership? What’s wrong? There’s something wrong with this picture,” Pelosi said.

She said that House Democrats met earlier Wednesday to discuss the situation and decided on the approach.

Pelosi’s dramatic House floor speech, which was stretching toward an hour, came the morning after top Senate leaders said they were close to finalizing the sweeping long-term budget deal.

The House passed a short-term measure Tuesday evening that would fund the government past the midnight Thursday deadline and avert a second partial shutdown in less than a month.

The House bill, which passed 245 to 182, would fund most agencies through March 23 but is a nonstarter in the Senate because of Democratic opposition.

But the top Senate leaders of both parties told reporters earlier in the day that a breakthrough was at hand on a longer-term budget deal. Spending has vexed the Republican-controlled Congress for months, forcing lawmakers to rely on multiple short-term patches.

Despite the optimism, no agreement was finalized, and even as congressional leaders were sounding an upbeat note, Trump was raising tensions by openly pondering a shutdown if Democrats did not agree to his immigration policies.

“I’d love to see a shutdown if we don’t get this stuff taken care of,” Trump said at a White House event focused on crime threats posed by some immigrants. “If we have to shut it down because the Democrats don’t want safety . . . let’s shut it down.”

Trump’s remarks appeared unlikely to snuff out the negotiations, which mainly involved top congressional leaders and their aides — not the president or his White House deputies — and have largely steered clear of the explosive immigration issue.

White House press secretary Sarah Huckabee Sanders said Tuesday afternoon that Trump was not pushing for the inclusion of immigration policies in the budget accord, something that would upend the sensitive talks.

“I don’t think that we expect the budget deal to include specifics on the immigration reform,” she said. “But we want to get a deal on that.”

The agreement McConnell and Sen. Charles E. Schumer (D-N.Y.) are contemplating, with input from Ryan and Pelosi, would clear the way for a bipartisan accord that would break through the sharp divides that helped prompt a three-day government shutdown last month.

Under tentative numbers discussed by congressional aides who were not authorized to speak publicly about the negotiations, defense spending would get an $80 billion boost above the existing $549 billion slated for 2018. Nondefense spending would rise by $63 billion from its current $516 billion. The 2019 budget would include similar increases.

“Democrats have made our position in these negotiations very clear,” Schumer said on the Senate floor Tuesday. “We support an increase in funding for our military and our middle class. The two are not mutually exclusive. We don’t want to do just one and leave the other behind.”

Among the other issues that could be addressed in the deal is an increase in the federal debt limit, which could be reached as soon as early March, according to the Congressional Budget Office.

A disaster aid package aimed at the victims of recent hurricanes and wildfires is also part of the talks, potentially adding $80 billion or more to the deal’s overall price tag. That provision could help win support from lawmakers representing affected areas in California, Florida and Texas, but further repel conservatives concerned about mounting federal spending.

Even the rumors of a coming deal were enough to send some conservative hard-liners reeling at the potential increase in federal spending.

“This is a bad, bad, bad, bad — you could say ‘bad’ a hundred times — deal,” said Rep. Jim Jordan (R-Ohio), a co-founder of the House Freedom Caucus. “When you put it all together, a quarter-of-a-trillion-dollar increase in discretionary spending — not what we’re supposed to be doing.”

But Republican leaders think they can sell the deal to rank-and-file members by highlighting the massive boost in defense spending that Trump and his defense advisers have wanted for months.

Defense Secretary Jim Mattis told members of the House Armed Services Committee on Tuesday that Congress should “not let disagreements on domestic policy continue to hold our nation’s defense hostage.” He warned that a failure to pass long-term funding would imperil troop paychecks, inhibit the maintenance of planes and ships, stunt recruiting and otherwise harm military readiness.

“To carry out the strategy you rightly directed we develop, we need you to pass a budget now,” he said.

False Tsunami Warning Issued Across The East Coast And Caribbean

As people along the East Coast, Gulf of Mexico and the Caribbean were preparing for their day around 8:30 a.m. ET, a smartphone push notification warned some of them of a possible tsunami.

The threat, as it turned out, was nonexistent. The National Weather Service tells NPR that it was a “test message” released by at least one private company as an official warning. In a statement, spokesperson Susan Buchanan said:

“The National Tsunami Warning Center of the National Weather Service issued a routine test message at approximately 8:30 am ET this morning. The test message was released by at least one private sector company as an official Tsunami Warning, resulting in widespread reports of tsunami warnings received via phones and other media across the East Coast, Gulf of Mexico, and the Caribbean.” 

The federal agency issued a tweet addressing the incident over an hour after the false warning was delivered.

The NWS would not elaborate on how widespread the warnings were, but said the agency is currently looking into why the test message was communicated as an actual tsunami warning.

The NWS says neither the agency nor its National Tsunami Warning Center division were responsible for the false push notification, which they say was misinterpreted and issued as an official warning by “at least one” private sector company.

The error comes weeks after a false ballistic missile alert in Hawaii declaring “THIS IS NOT A DRILL” advised Hawaii residents and tourists to seek immediate shelter.

The alert issued by the Hawaii Emergency Management Agency was sent at 8:07 a.m local time. It took until 8:20 a.m. for the agency to post to its Twitter and Facebook accounts that there was no missile threat to Hawaii. It took the agency a full 38 minutes after it had sent the false alert to issue a correction through the emergency alert system.

The alert was issued because emergency worker believed there really was a missile threat, according to a preliminary investigation by the Federal Communications Commission. That employee, who had “confused real-life events and drills in the past” according to the FCC, was fired.

Winner of $560M lottery says she made a ‘huge mistake’

CLOSE

After winning a $560 million dollar Powerball, a New Hampshire woman wants to remain anonymous. Veuer’s Natasha Abellard (@NatashaAbellard) has the story.
Buzz60

A New Hampshire woman who bought a Powerball ticket worth $560 million last month is fighting to remain anonymous, saying in a lawsuit that releasing her name would “constitute a significant invasion of her privacy.”

The woman filed suit against the New Hampshire Lottery Commission under the pseudonym Jane Doe. She says she made a “huge mistake” when she signed her real name on the back of the ticket before contacting a lawyer, who told her she could have remained anonymous had she established a trust and then had a trustee sign the ticket.

The lawsuit, filed last week, describes the woman as an “engaged community member.” 

“She wishes to continue this work and the freedom to walk into a grocery store or attend public events without being known or targeted as the winner of a half-billion dollars,” the complaint said. It adds that she plans on remaining in New Hampshire and giving back “to the state and community that has given so much to her.”

The woman is represented by the law firm of Shaheen and Gordon. William Shaheen wrote a blogpost Jan. 8, two days after the drawing, that shines a spotlight on the difficulties the lawsuit might face.

“Don’t sign that back of the ticket because if you sign it you lost confidentiality,” he says. “It becomes public, and you lost the option of staying anonymous.”

The woman has not yet claimed the prize, and the lawsuit says the fight for her anonymity is costing her a fortune in interest.

More: Numbing numbers: $1B awaits unprecedented lottery jackpot winners

More: One lucky N.H. ticket wins $570M Powerball jackpot

The New Hampshire Lottery, however, is standing firm.

“The New Hampshire Lottery understands that winning a $560 million Powerball jackpot is a life-changing occurrence,” Charlie McIntyre, the New Hampshire Lottery’s executive director, said in a statement. “Having awarded numerous Powerball jackpots over the years, we also understand that the procedures in place for prize claimants are critically important for the security and integrity of the lottery, our players and our games.”

McIntyre said he understands the winner’s desire to keep her name out of the media. But he said the state attorney general’s office has advised him that “the lottery must proceed in accordance its rules and by state law in processing this claim like any other.” 

Jane Doe won the Powerball drawing Jan. 6. The ticket was bought at Reeds Ferry Market, a modest convenience store in Merrimack, N.H. The owner even came out a winner, claiming a $75,000 prize for selling the lucky ducat.

“Can you believe someone just walked into my store and won?!” Safa told USA TODAY last month. “Most of my customers are local, and I’m hoping it’s someone local. But whoever it is, congratulations to them.”

The lawsuit, however, says Jane Doe now joins a small demographic of big jackpot winners that “has historically been victimized by the unscrupulous.” The lawsuit even raises the issue of the opioid crisis in stating that New Hampshire, “despite it’s bucolic beauty … is not immune to crime.”

“The disclosure of Ms. Doe’s identifying information would constitute an invasion of privacy because the limited public interest in disclosure is far outweighed by Ms. Doe’s interest in remaining anonymous,” the lawsuit states.

FTSE and European stock markets fall after US and Asia rout

Asian markets plunged overnight after Dow Jones registered its largest points fall in history







Carnage in the stock markets. An investor monitors stock prices at a brokerage house in Beijing as shares tumbled in Asia.
Photograph: Mark Schiefelbein/AP

Fears of another plunge in Wall Street shares proved unfounded on Tuesday after the Dow Jones shrugged off an initial 500-point drop to post early gains.

It was a volatile open session as shares fell further into the red before investors regained their nerve and the Dow rose 184 points or 0.6% to 24,527.

The gains followed the biggest ever one-day points fall on the US index on Monday, when the Dow plunged by 1,175 as traders bet on interest rate rises.

The FTSE 100 of Britain’s biggest listed companies initially fell by 255 points or 3.5% to 7,079.41 as the turmoil spread to global markets. The index later recovered some of its losses, and was down 138 points or 1.9% at 7,196.

QA

What are FTSE 100’s biggest percentage falls?

1) 20 October 1987 -12.22%
2) 19 October 1987 -10.84%
Black Monday (October 19) followed a plunge on Wall Street on the previous Friday when UK markets were shut due to a hurricane hitting the country. The market fall was prompted by tensions between Iran and the US, and carried over to the following day 

3) 10 October 2008 -8.85%
Markets fell sharply in October 2008 at the height of the global financial crisis after the collapse of Lehman Brothers and the subprime mortgage chaos which hit other financial institutions

4) 6 October 2008 -7.85%
Growing fears about the health of struggling banks as the financial crisis deepens, despite a number of countries saying they would guarantee bank deposits

5) 15 October 2008 -7.16%
Concerns continue despite global bank bailout plans unveiled

6) 26 October 1987 -6.19%
Continuing fallout from the Black Monday turmoil

7) 11 September 2001 -5.72%
The terrorist attack on the World Trade Center in New York

8) 6 November 2008 -5.70%
Bank of England and European Central Bank cut interest rates amid talk of a recession

9) 22 October 1987 -5.69%
Black Monday fallout continues

10) 21 January 2008 -5.48%
Fears grow of a US recession

Investors took fright elsewhere in Europe as trading got under way, with markets in Germany, France, Italy and Spain all down by more than 3%.

“The stock market open in the UK and Europe looks about as bad as it can get,” said Jasper Lawler, the head of research at online trading firm London Capital Group. “The bloodbath on Wall Street, which was repeated in Asia has seen confidence evaporate in Europe.”

QA

What are the FTSE 100’s biggest points falls?

1) 6 October 2008 -391.06
Growing fears about the health of struggling banks as the financial crisis deepens, despite a number of countries saying they would guarantee bank deposits.

2) 10 October 2008 –381.75
Markets fell sharply in October 2008 at the height of the global financial crisis after the collapse of Lehman Brothers and the subprime mortgage chaos that hit other financial institutions. 

3) 21 January 2008 -323.47
Fears grow of a US recession.

4) 15 October 2008 -314.62
Concerns about the financial system continue despite global bank bailout plans unveiled. 

5) 24 August 2015 -288.78
Worries about a slowdown in the Chinese economy send global markets tumbling. 

6) 11 September 2001 -287.70
Terrorist attack on the World Trade Center in New York.

7) 29 September 2008 -269.70
Bradford Bingley to be nationalised and US Congress votes against a bank bailout bill put forward by the Treasury and Federal Reserve.

8) 4 January 2000 -264.35
Dotcom boom begins to unwind, amid talk of Federal Reserve rate hikes.

9) 6 November 2008 -258.32
Bank of England and European Central Bank cut interest rates amid talk of a recession

10) 20 October 1987 -250.70
The day after Black Monday – which recorded a 249.6-point fall – saw markets continue their slump, prompted by tensions  between Iran and the US.

Falls in Europe followed a near 5% drop in Japan’s benchmark Nikkei 225 index and a 3.3% fall on Australia’s ASX200.

In Japan, the Nikkei 225 index declined by as much as 7% during the day’s trade before a slight recovery to close down 4.7%. The Nikkei’s decline of 1,071.84 points was its largest points fall since 2016.

Maki Sawada, from the investment research and investor services department at Nomura Securities Co, said stocks were being sold in panic after the Wall Street losses.

Quick guide

The stock market drop

For several weeks, economists and analysts have warned that inflation levels in major economies could increase this year beyond the 2% to 3% that central banks believe is good for developed countries. Official US figures turned those concerns into a sell-off last Friday, after they showed average wage rises in the US had reached 2.9%. The data increased fears that shop prices would soon rise further, increasing the pressure for high interest rates to calm the economy down. Investors then bolted at the prospect of an era of cheap money – which encourages consumers and companies to spend – coming to an end. Over the past month, several members of the US central bank, the Federal Reserve, have argued that three 0.25% interest rate rises scheduled for this year could become four or five.

There is every prospect that the US economic data will continue to strengthen, increasing the potential for higher interest rates. President Donald Trump’s tax reform bill, which gained approval in Congress before Christmas, will inject more than $1tn (£710bn) into the US economy, much of it in the form of corporation tax cuts. Many firms have pledged to give a slice of the cash to their workers. Decades of flat wages should mean that increases expected in 2018 and possibly 2019 are too small to trigger a reaction from the central bank, but investors are betting rates will rise. As a consequence, stock market jitters could continue.

Many developing world economies have borrowed heavily in dollars and will be stung by the higher cost of servicing their debts. On the other hand, a booming US economy will suck in imports from those nations, boosting the incomes of the developing world. However, the eurozone looks unlikely to increase interest rates until its recovery is more firmly anchored. That means the euro will continue to rise in value against the dollar, making it harder for European countries to export to the US.

“The sell-off accelerated in a chain reaction,” she told Kyodo News.

Other markets across Asia also suffered losses. South Korea’s Composite Stock Price Index fell by about 3% in morning trade. Hong Kong’s Hang Seng index plunged 4.9% while the Shanghai Composite index lost 2.2%.

These losses followed the dive in the Dow Jones industrial average on Monday, with investors appearing to react to equity losses and concerns that central banks will soon increase interest rates to rein in inflation. It coincided with the arrival of Jerome Powell as the new chair of the US Federal Reserve.

Biggest one-day falls for the FTSE 100

“This was volatility unleashed,” said Jack Ablin, the chief investment officer at at Cresset Wealth. “It’s partially fear of interest rates, partially this new Fed chairman Jerome Powell, partially the market is overvalued relative to fundamentals.”

While market fear may not be based in any change in economic fundamentals, in its last meeting under chair Janet Yellen, the Federal Reserve indicated it expects inflation pressures to increase through the year.

Biggest one-day falls for the Dow Jones
Biggest one-day falls for the Dow Jones

According to projections released in December, officials expect three rate hikes in 2018 – so long as market conditions remain broadly as they are – but some economists believe the central bank could add another increase at its final meeting of the year.

If the market falls continue they could prove problematic for Donald Trump who has consistently touted record high stock markets as proof that his presidency is boosting the economy.

US stocks have now lost $1tn in value in the first five days of February. However, the White House, responding to the market drop insisted on Monday night that long-term economic fundamentals “remain exceptionally strong”.

Vice President Mike Pence characterised the stock market’s plunge as “simply the ebb and flow of our stock market”.

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On Monday, the FTSE 100 suffered its worst single-day slump since Theresa May called the snap election last April.

The index fell 1.3% to 7,345 – having peaked at almost 7,800 last month – extending its longest losing streak since November into a fifth day.

“The era of cheap money is ending, and for markets who got addicted to it, it’s undoubtedly bad news,” said Hussein Sayed, the chief market strategist at currency dealer FXTM.

New bipartisan immigration plan to be introduced in the Senate


Sen. John McCain (R-Ariz.) arrives on Capitol Hill on July 11, 2017. (Jacquelyn Martin/AP)

Two senators eager to see Congress start crossing items off its long to-do list are set to introduce a bipartisan plan  Monday designed to settle two of the more pressing parts of the immigration debate and let lawmakers move on to other issues.

Sens. John McCain (R-Ariz.) and Christopher A. Coons (D-Del.) plan to formally introduce a bill that would grant permanent legal status to undocumented immigrants known as “dreamers” and start bolstering security along the U.S.-Mexico border. But the measure would not immediately authorize spending the $25 billion President Trump is seeking to fortify the border with new wall and fence construction. Some Republicans are seeking at least $30 billion.

The McCain-Coons plan also would grant legal status to dreamers who have been in the country since 2013 — a larger pool of undocumented immigrants than the 1.8 million Trump supports legalizing.

The bill says nothing about curbing family-based legal migration or making changes to the diversity lottery program — two other priorities for Trump and conservative Republicans.

In a statement, McCain said the bill “would address the most urgent priorities” of legalizing the status of dreamers and make changes to border security — and allow Congress to move on.

“It’s time we end the gridlock so we can quickly move on to completing a long-term budget agreement that provides our men and women in uniform the support they deserve,” he added.

The new legislation comes as Congress has four days to meet another short-term spending deadline at 12:01 a.m. Friday. Immigration has been a dominant subject of the months-long talks to set new federal spending levels, as Democrats have insisted on enacting changes in immigration policy to win their support ever since Trump announced plans to end the Deferred Action for Childhood Arrivals program, or DACA, last September.

The program is set to end March 5, although members of both parties believe that an ongoing federal court case that challenged Trump’s decision could keep the program operational for at least a few more months if Congress fails to act.

Trump, however, appeared to stand firm on his demands to fund the wall as part of any DACA legislation.

“Any deal on DACA that does not include STRONG border security and the desperately needed WALL is a total waste of time,” Trump tweeted Monday. “March 5th is rapidly approaching and the Dems seem not to care about DACA. Make a deal!”


Sen. Christopher A. Coons (D-Del.) speaks to reporters on Capitol Hill after the Senate reached an agreement to end the government shutdown on Jan. 22. (Joshua Roberts/Reuters)

A three-day partial government shutdown last month was forced in part by Democrats who withheld support for a short-term spending plan until Senate Majority Leader Mitch McConnell (R-Ky.) agreed to allow votes on immigration legislation if a compromise can’t be included as part of the next short-term spending bill. Negotiators in both parties and both chambers are still working on a potential plan and are expected to continue doing so this week.

Sen. Richard J. Durbin (D-Ill.), a lead Democratic negotiator on immigration policy, said that “there is not likely to be a DACA deal” this week.

He told CNN’s “State of the Union” on Sunday: “I don’t see a government shutdown coming, but I do see a promise by Senator McConnell to finally bring this critical issue that affects the lives of hundreds of thousands of people in America, finally bringing it to a full debate. That’s what we were looking for when there was a shutdown. We’ve achieve that goal, we’re moving forward.”

Whether the McCain-Coons bill could pass the Senate is unclear — but it is nearly identical to legislation already introduced in the House with wide support. The USA Act, introduced by Reps. Will Hurd (R-Tex.) and Pete Aguilar (D-Calif.), has 54 co-sponsors — 27 members from each party — and has been the subject of conversations between Trump administration officials and senior congressional leaders trying to sort out the contours of a potential immigration debate.

But conservative lawmakers and some administration officials already consider the plan insufficient because it fails to do more to boost security along the southern border.

Like the House version, the new Senate bill calls for the use of drones and other technology to establish better “situational awareness and operational control of the border.” Rather than immediately spending the billions of dollars Trump is seeking for new wall and fencing construction, the legislation would require the secretary of homeland security to submit to Congress a new southern border security strategy within a year of the bill’s passage. That plan would need to include “a list of known physical barriers, levees, technologies, tools, and other devices that can be used to achieve and maintain situational awareness and operational control along the southern border” and a projected cost per mile for any changes.

“While reaching a deal cannot come soon enough for America’s service members, the current political reality demands bipartisan cooperation to address the impending expiration of the DACA program and secure the southern border,” McCain said.

Coons added that the bill “doesn’t solve every immigration issue, but it does address the two most pressing problems we face: protecting DACA recipients and securing the border.”

McCain is chairman of the Senate Armed Services Committee and a leading defense hawk who is furious with the slow pace of negotiations about increased federal spending levels. Supporters of increased military spending in both parties want Congress to enact a budget plan so the Pentagon can work on long-term planning.

McCain has Stage 4 brain cancer and has been absent from Washington since before Christmas. He is not expected to be on Capitol Hill this week.

Sponsoring this immigration measure is a stark departure from McCain’s aggressive stance on border security. During his 2010 reelection campaign, he vowed to “complete the danged fence” across Arizona’s span with Mexico. In 2013, he was a lead GOP negotiator on a bipartisan comprehensive immigration reform plan that passed overwhelmingly in the Senate but fizzled in the House.

Coons is a relative newcomer to the years-long fight over immigration policy — but he has been an eager participant in recent bipartisan talks to end a partial government shutdown and broker a compromise on immigration policy. He is set to share more details about the bill later Monday.

News of the new McCain-Coons bill was first reported by the Wall Street Journal.

Brian Murphy contributed to this report.

Read more:

Immigration proposal contains bitter pills for both sides

Who is Adam Schiff? Top Democrat Earns Nickname ‘Little’ From President Trump

Democratic Representative Adam Schiff, who has drawn the ire of Donald Trump and top Republicans, earned himself a new nickname from the president Monday morning.

Related: What is the Nunes Memo? Controversial intelligence document about Trump campaign surveillance spawns #ReleaseTheMemo

“Little Adam Schiff, who is desperate to run for higher office, is one of the biggest liars and leakers in Washington, right up there with Comey, Warner, Brennan and Clapper! Adam leaves closed committee hearings to illegally leak confidential information. Must be stopped!” Trump tweeted.

The congressman fired back Monday morning, responding to the president’s tweet by writing, “Mr. President, I see you’ve had a busy morning of ‘Executive Time.’ Instead of tweeting false smears, the American people would appreciate it if you turned off the TV and helped solve the funding crisis, protected Dreamers or…really anything else.”

Schiff’s dig about Trump’s “executive time” comes from a January report that claimed the president often spends the first few hours of his day without meetings, instead watching TV and tweeting about his accomplishments and political enemies.

Schiff, who first joined Congress back in 2001, has been a thorn in the president’s side as the top Democrat on the House Intelligence Committee, and more recently as the leading Democratic voice against the controversial Nunes Memo. The document, released Friday, has become a partisan flashpoint, with Republicans asserting that it shows blatant abuses of power by both the FBI and the Department of Justice.

Democrats, often led by Schiff, claim that the memo is misleading and intentionally omits certain facts. They have called for Republicans on the House Intelligence Committee to allow a Democratic counter-memo to be published.

Schiff continued his criticism on Sunday morning. Appearing on This Week With George Stephanopoulos, Schiff reiterated his belief that the memo “was a political hit job on the FBI in the service of the president.”

In addition to the recent partisan squabbling over the Nunes memo, Schiff has remained persistent in his insistence on a full investigation into potential ties between Trump and Russia and recently stated that he believes Republicans on his committee lack commitment to finding out the truth.

In a series of tweets in December, Schiff said that he thinks there is a concerted GOP effort to kill the credibility of the investigation being led by special counsel Robert Mueller and that Republicans intended to “shut down” the House Intelligence Committee’s probe.

“I’m increasingly worried Republicans will shut down the House Intelligence Committee investigation at the end of the month,” Schiff tweeted, before launching into a list of reasons supporting his rationale. The list included claims that Republicans refused to call “dozens of outstanding witnesses” to testify before the committee.

The congressman’s vocal opposition to the president has raised public conjecture about his future, with many discussing the possibility of Schiff seeking a higher office. Asked about that in January 2017, Schiff did not rule out the possibility.

“At some point, I may certainly entertain running for statewide office,” he said.

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How the Eagles beat the Patriots at own game, and why the upset was historic

10:10 AM ET

To pull off their Super Bowl upset Sunday night, the Philadelphia Eagles out-Patriots-ed the New England Patriots. The stories we all know by heart about the Patriots are the ones we’re telling about the Eagles this morning. How they’re never out of any game, even if they’re missing a star player. How they come up with critical plays at the exact moment when they need one. How they leverage a coaching advantage by taking risks the other team is afraid to take.

The Eagles won a shootout Sunday night by slipping off their underdog masks and playing like they had nothing to lose.

The Patriots weren’t out-schemed. They weren’t overwhelmed by a dominant defensive line, as they were during their Super Bowl defeats against the New York Giants. They were out-executed. Bill Belichick’s team made sloppy mistakes throughout the game and left the door open just wide enough for the Eagles to fly on in. For a team whose mantra is famously “Do Your Job” — for a team that relies on a nearly mechanical emphasis and focus upon getting the little things right — the Patriots were napping at work far too frequently to win.

Doug Pederson’s team didn’t win the Super Bowl as a result of the Patriots’ mistakes; the Eagles won because they executed in many of the exact ways in which the Patriots specifically struggled. Philadelphia didn’t play a perfect game, but it was far more consistent and made critical plays far more frequently than the Patriots.


More Patriots than Patriots

Where did the Eagles outdo the Patriots? Let’s run through some of the ways the Eagles stood out — and the Patriots fell short — in Super Bowl LII:

Third down. We’ll get to Nick Foles‘ game later, but the biggest question about Philadelphia’s quarterback heading into the contest was whether he would be able to keep up his stunning performance on third down after posting a perfect passer rating and converting nine of his 11 third-down tries against the best third-down defense in recent league history during the NFC Championship Game.

Foles and the Eagles’ offense delivered in spades. The Patriots weren’t expected to be as stout as the Vikings, but the same offense that went 1-of-14 on third down on a Christmas night struggle against the Raiders went 10-of-16 (62.5 percent) on third downs against the Patriots. Philly converted a pair of third downs to start its first drive, including a third-and-12 to Torrey Smith, and went on its way from there.

Last year, Hightower came up with the strip sack of Matt Ryan that gave the Patriots a crucial short field during their comeback. Against Seattle, Butler came up with the most famous interception in recent league history. This year, with the Patriots about to launch their own would-be comeback drive late in the fourth quarter, it was the Eagles who came up with a critical turnover exactly when they needed a big play when they shifted Brandon Graham inside for a strip sack of Brady.

New England simply didn’t have the bodies. Hightower was playing out of position and got hurt. Trey Flowers had a great postseason but was erased from existence on Sunday night by Halapoulivaati Vaitai and the Eagles’ offensive line, which went with six offensive linemen for several plays with some success, including the 21-yard touchdown from LeGarrette Blount. The Eagles have a great offense, and the Patriots’ defense couldn’t keep up. Gilmore had a great game, but the Patriots will need to address their front seven this offseason.

Brady’s bunch

With even a little bit of resistance from their defense, the Patriots probably would have won this game. That’s how incredible their offense performed. Given that the Eagles came into the game ranked fourth in scoring defense and fifth in defensive DVOA, I think you can make a reasonable case that this was the best offensive performance in any loss in NFL history, let alone Super Bowl history.

The big number here is 600: The Patriots became the first team in league history to rack up 600 yards in a game and lose, finishing the game with 613 yards from scrimmage. The 600 Club had previously gone a combined 38-0-1 before Sunday, with the previous record for most yards in a defeat coming when the 49ers racked up 598 yards in a 34-31 loss to the Bills in September 1992.

Yardage isn’t the best statistic, though, and a better measure might be that the Patriots never had to punt on Sunday. They scored six times, missed a field goal, had a drive end on downs, fumbled away the ball, and had a possession end at the conclusion of each half. Teams occasionally lose without punting, but it’s usually because they turn the ball over a bunch. The Pats turned the ball over only once.

At the same time, though, Foles isn’t a creation of his coaches. The 29-year-old deserves a ton of credit and was counted out by a ton of people after his ugly end to the regular season, myself included. When I wrote that the Eagles still had a chance to win the NFC after Carson Wentz‘s injury, that argument was predicated upon home-field advantage, a great defense and Foles doing just enough to win games.

Maybe the Eagles won the Atlanta game that way, and maybe this all breaks differently if the duck Foles tossed up just before halftime is picked off by Keanu Neal as opposed to dropping into Torrey Smith‘s hands to help set up a field goal. Over the past two games, though, Foles has been a bona fide superstar. He finished with the second-best QBR over the conference championship and Super Bowl in the past 10 years, second to Matt Ryan‘s performance from last season. On Sunday, he won a game on a neutral field where his defense allowed one of the best quarterbacks in league history to rack up 600 yards of offense. The story used to be that the Eagles might be able to win despite Nick Foles. It was wrong. They just won a Super Bowl because they had Nick Foles.

What to do with the spare Super Bowl MVP you have lying around

Now, the Eagles find themselves in a funny predicament that just about every team in the league would love to worry about. While I joked about it during the game, there’s no quarterback controversy in Philadelphia. Wentz was the favorite to win league MVP before he went down with a torn ACL. Foles pieced together an incredible postseason, but Wentz is going to be Philly’s quarterback for the next decade.

The rest of the league just watched Philadelphia’s backup tear apart the NFC’s best defense and outduel Tom Brady in a shootout to win the Super Bowl. Foles is under contract for one more year at a cap hit of $7.6 million, with his contract set to void in April 2019. That’s big money for a backup (money the Eagles will never regret spending), but it’s well below market value for a starter, even as a stopgap or a bridge to a younger quarterback.

Given that the Eagles will likely lose Foles in 2019 to another team, should they at least be willing to listen to trade offers for their Super Bowl MVP?

The argument against the idea is clear. Wentz tore up his knee in mid-December, and while initial reports suggested it was a clean ACL tear, it also now seems likely that Wentz suffered damage to additional ligaments in his knee as part of the injury, which complicates his recovery period. There’s no guarantee Wentz is ready for Week 1 of the 2018 season, let alone prepared to play at a similar level to the MVP-caliber form we saw from him this past season. Foles is a hedge against any setbacks to Wentz. Eagles fans can sleep comfortably all spring and summer knowing the floor for their quarterback spot is Super Bowl MVP.

At the same time, though, trading Foles doesn’t preclude the Eagles from investing in another backup to replace Wentz. While Foles does deserve the credit I mentioned, the same infrastructure that helped raise both Foles and Wentz up during the 2017 season is set to return for 2018, with the Eagles likely to run this back with all three of their key offensive coaches, every one of their major receiving weapons, and all of their offensive linemen pending what Philadelphia does with left tackle Jason Peters, who is coming off of a torn ACL and MCL.

Philadelphia would save $5.2 million on its cap by trading Foles, which would be plenty of money to target a replacement. The Eagles are missing second- and third-round picks in this year’s draft as a result of the trades for Wentz and Ronald Darby, although they have an extra fourth-rounder from the Pats as a result of the Rowe trade. Howie Roseman is the most aggressive general manager in the league when it comes to swapping veterans, so I wouldn’t put the idea past him, even if the trade doesn’t actually happen.

Like anything, I think it depends on the compensation. Some team is going to have to give up a lot to make the Eagles think about it. Roseman probably would look toward the top half of the second round, where the Jets (37), Broncos (40) and even the Dolphins (42) could theoretically look Foles’ way. The Cardinals (47) have no apparent options at quarterback and the sort of cap stress that would make Foles’ relatively low salary palatable. The Bills have two back-end second-rounders at 53 and 56, and you wonder if they might call about Foles if they cut Tyrod Taylor. Or maybe the Eagles look to acquire a young downfield threat at wide receiver (assuming they plan on declining Smith’s option) or a tight end to replace free agent Trey Burton as part of the deal.

In the end, I doubt anything happens. The Eagles can’t really justify dealing Foles given Wentz’s injury unless a team blows them away with a trade offer, and given that we just saw Jimmy Garoppolo go for a second-rounder and Alex Smith join Washington for a third-rounder and Kendall Fuller, it’s difficult to see a team dealing a more valuable pick for Foles. The Eagles return virtually all of their core for 2018. At this point, even though he’s a backup, Foles is part of that core.

He probably deserves to have a shot at starting somewhere, but after he lived through the horror of a Jeff Fisher season, you can imagine Foles might appreciate his situation in Philadelphia. After he saved their season and helped lead the Eagles to their first Super Bowl trophy, he might be the only backup quarterback in football with his own statue in town. Covered in Crisco, of course.