"The influence of the leaders is due in very small measure to the arguments they employ, but in a large degree to their prestige. The best proof of this is that, should they by any circumstance lose their prestige, their influence disappears." Gustave Le Bon


The truth about Syria comes to light

A few months ago the mainstream media has been blaming the Syrian leader Bashar Al Assad for a chemical attack in Syria. Even the use of sarin has been mentioned - one of the most lethal fighting gases in the world.

Mentioned attack has occured on April 7th, 2018. Five days later, we have written that in our opinion it has been a false flag operation, because Al Assad has no interest in organizing the attack. After all, it was the moment when his position was getting stronger and the Americans announced the withdrawal of troops from Syria.

After the attack, the Syrian BBC reporter Riam Dalati has started his investigation. He recently published on Twitter: "After almost 6 months of investigations, I can prove without a doubt that the #Douma Hospital scene was staged. No fatalities occurred in the hospital." Dalati referred in this way to photo shots used by the journalists of the largest TV stations - all television stations has been showing constantly the scenes of children allegedly affected by the attack. Meanwhile, according to the reporter, there were no fatalities in the hospital.

As if that was not enough, one of the people recording scenes in the hospital was a doctor, where the message from the recordings was that "in the hospital there are no doctors".

Dalati has collected his materials mainly based on talks with the representatives of the White Helmets, the organization opposite to Al Asad.

It is worth mentioning that during the conference in Hague (end of April 2018) Russia introduced on its side an 11-year-old boy, visible on recordings from the hospital. He testified that there was no chemical attack.

Anyway, the number of corpses in the apartments has been also showed on the TV stations recordings.  Dalati refers to the above as follows: "What really happened in these apartment buildings know only activists who manipulate those scenes.". The reporter also adds that what can be said for sure is the fact that Sarin gas has not been used (this version of the story has been also propagated by Washington).

At this point, it is worth mentioning one more tweet by Dalati from April 11th, 2018 which has been quickly deleted by himself. He wrote: "Sick and tired of activists and rebels using corpses of dead children to stage emotive scenes for Western consumption. Then they wonder why some serious journos are questioning part of the narrative."

For clarity: when writing about activists or volunteers, it is almost always about the organization of White Helmets, whose aim is supposedly to bring back peace. In fact, they work on behalf of the USA and UK.

The story from the Dalati's twitter account coincides with what we have written almost a year ago. In April 2018, Al Asad had no interest in carrying out any chemical attack. He has become an excuse for bombing Syria by the US. Back then, 100 Tomahowk missiles has been used, each of them worth 1 million dollars - this is just the business. The action has been commissioned by the American military complex. Additional profits also went to the television - TV stations increased their audience share.

By the way, this is a demonstration of what the media consolidation has led to. Note that in the above-mentioned lie attack, virtually all radio and television stations has been talking about. All of them! Meanwhile, looking carefully for information and relying on common sense, you could create a completely different picture of what actually has happened in Syria. Therefore, it is better to read a variety of blogs and watch Internet TVs than to feed on mainstream mash-ups.


A new era of television

Let's stay for a moment with the media mash-ups. Watch the following video:

Yes, this lady represents artificial intelligence (AI). Some of you should have noticed right away because of the subtitles. Technology is developing at such a pace that soon the difference between a real and created presenter will be difficult to notice. This will make a life easier for media corporations. Ultimately, today, at least sometimes, they have to face the opposition of journalists who now want to take part in more brazen manipulations, not to mention fake news.

Meanwhile, the robot has no requirements, it will say everything you want, and it costs less. Therefore, the stations will be able to bombard people with the narrative chosen by them and create a reality that does not exists. Of course, this is happening right now, but sometimes becomes problematic due to journalists. Soon, thanks to the AI the problems will disappear.


Arabic reshuffle

In previous articles, we have mentioned several times about the silent war in Yemen, where Saudi Arabia and its allies are bombing the country, contributing to the deaths of thousands of civilians. Moreover, because of the coalition's activities the 14 million Yemen citizens are threatened by starvation death. In addition, most of the victims of this war are those who died after the Saudis and their allies have conducted air raids.

Interestingly, the aggression of Saudi Arabia is not broadcasted by any of the Western media. The question is what would happen if, for example, Syria carried out attacks on an independent country?

So far, Saudi Arabia has been supported by Morocco. However, this is the past now because that country recently announced that it will no longer support the Saudis in the raids on Yemen. In addition, Morocco has brought its ambassador back to the country, while the prince of Saudi Arabia has not appeared in Morocco during his travel in Arab countries.

While relations between Saudis and Morocco have deteriorated, things are completely different with regards to relations with China. During the meeting of Prince Mohammed Bin Salman and President Xi Jinping, China has managed to finalize an agreement under which Saudi Petrochemical giant Saudi Aramco will invest 10 billion dollars in China.

However, we are more interested in other information. Well, Saudis have decided to incorporate Chinese language into the curriculum in their schools and universities.

Source: GulfGccYouth

Such a long-term decision may of course facilitate economic cooperation between Saudi Arabia and China. This is the next move of Prince Mohammed bin Salman in order to develop cooperation with the Eastern countries (earlier the relations with Russia improved). Recall that, so far Saudi Arabia was based mainly on the agreement with the US, under which Saudi oil has been purchased only using US dollars, and the Saudi's surplus from trading oil has been invested in US bonds. Now, however, the situation is changing significantly, and Saudi Arabia is becoming another country which, is moving from close cooperation with the US to diversified activities (conducting business in both the West and the East).

Who knows, maybe soon the Chinese will start to buy Saudi's oil using yuan. What will happen then to the dollar quotes? Think about that.


Asia and Australia: Central banks slow down

Over the last 12 months, the global economy and its central bank policy have changed their direction radically. Not so long ago, at the end of last year, Japan was talking about the disadvantages of printing money, and the Central Bank of Australia stubbornly claimed that it will soon raise interest rates.

However, in regards to what has happened over the last year, China and other Asian countries, as well as Australia have found themselves in a situation where theres is no question of continuing monetary policy tightening. It shows the weakness of these economies. It is also a proof that the annoucnements of policy normalization by central bankers turned out to be fairytales. As you can see, bankers are able to immediately return to a loose policy in order to pump up the economy and postpone problems over time.

Bank of Japan Governor, Haruhiko Kuroda said a few days ago that the central bank is ready to continue stiumulating the economy if the sudden strenghtening of the yen will have a negative impact on the Japanese economy. In turn, the deputy of Central Bank of the Philippines said that the bank's objective is to maintain liquidity on the market in order to enable further economic development.

The statements of the Central Bank of Australia have also become more neutral. Therefore, most economists currently predict an interest rates cut.

In turn, the Indian Central Bank in February unexpectedly lowered interest rates, and analysts forecast another cut. It is worth adding that in 2018, interest rates were raised in India 6 times and there was no question of rate cuts.

In the case of China, it looks a bit different, because the central bank has been trying to support the economy for a long time. It is true that analysts expect a maximum of one interest rate cut, but if it occurred would threaten the yuan strength. Monetary policy in the Middle East will depend on the impact of the trade war with the US on the economy and on whether the previous attempts to stimulate the economy will bring the desired effects. It should be noted that the People's Bank of China during the last 12 months has reduced the minimum level of required reserves (the amount of money that banks must hold with the central bank) several times. This caused a large injection of liquidity into the Chinese economy.

The chart below presents the level of interest rates among individual Asian countries.

The graphic shows that since the beginning of 2018, interest rate increases have occurred in several countries (with the exception of China). They were small, but everything seems to indicate that central banks can not afford more. The global economy is in a very serious condition, especially when it comes to gigantic debt. As a result, the heads of central banks are not able to raise interest rates anymore.


India - Pakistan dispute

Several months ago, when we have been describing China's activities related to the New Silk Road, we also have mentioned the strengthening economic cooperation between Pakistan and China. It results mainly from the Chinese involvement in the Pakistani port in Gwadar, which is an important part of the so-called Sino-Pakistani economic corridor. It runs from the aforementioned port to Kashgar (western China).

This corridor is very important because transporting goods to the West of China this way is more profitable than unloading them at the port of Shanghai (eastern part of the country) and crossing throughout the entire China. More precisely, it is mainly about transporting oil and gas from the Middle East.

What can not be seen on the map above is the fact that the corridor runs through Kashmir, an area which is the part of a dispute between India, Pakistan and, to a limited extent, also China. We are dealing here with a special border, Kashmir has been divided into a Pakistani and Hindu part.

source: Natural Earth

Due to the factors like disputes over Kashmir, the economic corridor and the change of Pakistani policy, Trader21 has mentioned many months ago that it is one of the main hot spots on the world map.

Over the last two weeks, tensions between India and Pakistan have escalated. As in the past, it is all about Kashmir and nearby areas. It all has begun on February 14th, when 44 Police Officers have been killed in a terrorist attack in Kashmir, and Pakistani organization have admitted to the attack. The Indian authorities accused the Pakistani government of complicity, of course they denied it.

In response, India attacked Islamic extremist bases - 12 fighters striked areas near Balakot (marked on the map). It was the first attack in Pakistan since 1971. It is really difficult to say what the effect of the raid was: some sources mentioned hundreds of people killed, others say that only the wooded areas were bombed.

The attack took place on February 26th and in spite of declarations from both sides: "the need to relieve the tensions",  in the following hours both countries have shot down the enemy fighters.

At this moment it is difficult to predict the further development of the events, although we are inclined towards the scenario of escalating the tensions. Anyway, the situation in Kashmir is worth looking at, because we are talking about the clashes of two countries having nuclear weapons at their disposal. All military activities in this case are important and may also affect the financial markets.


Independent Trader Team