Sunday, February 14, 2021

Ordman Returns. Zito On Manchin. Ross Rants.

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Ordman returns (edited.)

(No newsletter next week - I'm preparing a zoom presentation).

So many of the articles in this week's newsletter emphasise how Israelis are helping to make a better world. New medical treatments to help those suffering from food allergies, brain damage and cancer. Solutions to help mental health sufferers and those struggling to access the Internet. Help for Israel's new UAE friends and for homeless Guatamalans. Help for farmers to control resistant weeds. Israeli companies are helping businesses to grow and European countries to protect themselves.  And a new Israeli COVID-19 treatment could help save millions from the deadly effects of this pandemic.

Best regards
Michael


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In the 14th Feb 21 edition of Israel’s good news, the highlights include: 
 
  
 
ISRAEL’S MEDICAL ACHIEVEMENTS
 
“This can change the fate of humanity”. Israel’s PM heralded the latest Israeli Covid-19 therapy, EXO-CD24, developed at Tel Aviv’s Sourasky (Ichilov) Medical Center. When given to 30 moderate to severe Covid-19 patients, 29 were discharged 3-5 days after having the treatment and one recovered a little later.
https://www.ynetnews.com/health_science/article/rJoYyaYeO
https://www.youtube.com/watch?v=o_8x2VOV3hA   https://www.youtube.com/watch?v=HA56LCCeuMc
https://www.israelnationalnews.com/News/News.aspx/296479
 
Fall in number of serious Covid-19 patients. The number of patients suffering from serious cases of Covid-19 has dropped below 1000, as more people over the age of 60 received their second doses of the Pfizer vaccine.
https://www.jpost.com/breaking-news/serious-coronavirus-cases-have-dropped-below-1000-658451
https://www.timesofisrael.com/serious-covid-patients-lowest-in-a-month-as-vaccine-effect-appears-to-show/
 
Treatment for deadly bacteria approved. (TY Atid-EDI) Following successful Phase 3 trials, the US FDA has approved Reltecimod from Israel’s Atox Bio (reported here previously) for the treatment of NSTI (Necrotizing  Soft  Tissue Infections), commonly referred to as flesh-eating bacteria. (fast-tracked in 2012!)
https://www.atoxbio.com/wp-content/uploads/2020/12/Atox-Bio-Reltecimod-NDA-Filing-PR-Dec-10-2020-FINAL.pdf
 
A mission to end food allergies. Israel’s Ukko is working to re-design gluten proteins so that they do not trigger an immune response in people with celiac and other gluten sensitivities. In addition, Ukko is developing an edible medicine that can promote immune tolerance for people with peanut allergy.
https://nocamels.com/2021/01/israeli-biotech-ukko-40m-food-allergies/   https://www.ukko.us/
https://www.forbes.com/sites/johncumbers/2021/01/27/synthetic-biology-partners-with-ai-to-delete-food-allergies/
 
The secret to reversing brain damage. (TY INN) Hebrew University of Jerusalem researchers and Seattle scientists have demonstrated the restoration of communication between damaged nerve cells. They implanted artificial connections (synapses) in the nervous systems of tiny translucent C. elegans worms.
https://www.cell.com/cell-systems/fulltext/S2405-4712(20)30504-4
http://www.xinhuanet.com/english/2021-02/03/c_139719129.htm
 
The human touch in healthcare. Patients often lapse their health improvement programs. Israel’s Well-Beat (reported here previously) recently completed a pilot at Sheba’s Cardiac Rehabilitation Center where it proved to triple adherence to recommended care. Well-Beat recently received its 3rd Israel Innovation Authority grant.
https://www.geektime.com/this-israeli-startup-deploys-behavioral-ai-to-add-a-human-touch-to-healthcare/
https://www.well-beat.com/  https://www.youtube.com/watch?v=ZCFp-j0ZF1M
 
European prize for pediatric endocrinology. Professor Moshe Phillip of Israel’s Schneider Children's hospital was awarded the Andrea Prader Lifetime Achievement Prize by the European Society of Pediatric Endocrinology (ESPE) for his outstanding contribution towards pediatric endocrinology.
https://www.schneider.org.il/?CategoryID=1011&ArticleID=4534
 
Safe testing for healthy babies. Israel’s AIVF has devised a method to test embryos in vitro in a noninvasive manner to detect possible genetic abnormalities. Its scanning device and an AI algorithm avoids the current riskier PGT (Preimplantation Genetic Testing) biopsies which remove cells from the embryo.
https://www.calcalistech.com/ctech/articles/0,7340,L-3892195,00.html   https://aivf.co/
https://www.youtube.com/watch?v=EJyRZFjMj18
 
An end in sight to medical biopsies. Hebrew University scientists have developed a blood test that they say could replace nearly all cancer screenings within a decade. It detects cancer cells and identifies the exact location of the tumor in the body. New Israeli startup Senseera will now perform clinical trials.
https://www.jpost.com/health-science/biopsies-can-be-replaced-with-simple-blood-tests-hebrew-u-research-finds-657971  https://www.nature.com/articles/s41587-020-00775-6
 
 
ISRAEL IS INCLUSIVE AND GLOBAL
 
 
Israeli helps UK predict outbreaks. Epidemiologist Professor Michael Edelstein from Israel’s Bar-Ilan University has helped develop a complex algorithm that gives a 17-day early warning of any English towns that are at risk of Covid-19 outbreaks. It has already been tested in Italy, Australia and South Africa.      
https://www.timesofisrael.com/web-search-data-help-from-israel-mean-england-can-catch-covid-spikes-early/
https://www.nature.com/articles/s41746-021-00384-w

 
Food security conference to help UAE. 20 Israeli food-security and agri-tech companies attracted an audience of 1,000 to an Israeli-UAE online investment conference. The speakers addressed issues challenging the UAE in agriculture and food security, such as precision agriculture, desert farming, resilient species and food storage.
https://www.jns.org/israelis-partner-with-emiratis-to-address-their-critical-needs-in-food-security-and-agriculture/
 
UAE trades with Judea and Samaria businesses. Yaakov and Naama Berg employ 40 - 50 Arab workers at their Psagot Winery near Ramallah, producing over 750,000 bottles of wine per year.  They are seeing the Abraham Accords initiate trade links between the Gulf and Judea & Samaria and opening a new era of peace.
https://www.jns.org/uae-embraces-trade-with-israeli-owned-businesses-in-judea-and-samaria/
 
New homes for Guatemala volcano victims.  (TY Hazel) Israel’s embassy in Guatemala has just finished its Guatelinda project in the town of Escuintla. It has built new homes for 39 families that lost their properties in the 2018 Fuego volcano eruption. The Guatemala Government named the street “Jerusalem Capital of Israel”.
https://www.timesofisrael.com/israel-builds-houses-for-39-families-that-lost-homes-in-guatemala-volcano-blast/
 
From Startup Nation to VacciNation. Jon Medved is one of Israel’s leading high-tech venture capitalists and promoter of Israel’s achievements. He explains how Israel propelled its world-leading vaccination drive through its Startup Nation ethos, efficient health systems, medical expertise and desire to be a light to the nations.
https://www.linkedin.com/pulse/israel-from-startup-nation-vaccination-jonathan-medved/
https://nocamels.com/2021/02/israel-startup-nation-ethos-leading-vaccine-drive/
 
 
SCIENCE & TECHNOLOGY
 
Vehicle AC removes coronavirus. Auto Cool is Israel’s leading manufacturer of customized Air Conditioning (AC) systems for commercial vehicles and trucks since 1982.  It says its ADS3000 system will remove any virus from buses, trains, taxis, vehicle fleets, and ambulances in Israel and around the world.
https://jewishbusinessnews.com/2021/02/08/israels-auto-cool-offers-covid-19-disinfection-solution-for-public-transport/  http://www.autocool.co.il/?page_id=2  http://www.autocool.co.il/?page_id=1272 (Hebrew)
 
 
120 cyber companies on one page. Glilot Capital and IVC have published a map showing over 120 of Israel’s largest private cyber companies. They are split into 14 areas: access, application, blockchain, cloud, email, endpoint, fraud, IoT, network, ops & threats intelligence, privacy, vulnerability, web & workload protection.
https://glilotcapital.com/wp-content/uploads/Glilot-Capital_CyberScape_2021.pdf
 
AI machine is a mathematical genius. (TY Sandra) Professor Ido Kaminer of Israel’s Technion Institute has developed the Ramanujan Machine - an Artificial Intelligent device and program to generate new mathematical formulae. He has just published the 19 hardest to prove hypotheses it has generated over the last two years.
https://www.timesofisrael.com/worlds-hottest-new-math-mind-teasers-set-by-israeli-ai-formula-finder/
https://www.nature.com/articles/s41586-021-03229-4.epdf
 
Higher steaks (animal-free). Israel’s Aleph Farms (reported here previously) has announced that it has 3D-printed the world’s first laboratory cultivated rib-eye steak, complete with all the flavor and texture of regular meat, minus the harm to animals. Previously, Aleph Farms only 3D-printed thin cuts of meat.
https://www.timesofisrael.com/higher-steaks-as-israeli-company-makes-first-lab-cultivated-rib-eye-cut/
 
Safe herbicide controls resistant weeds. Israel’s AgPlenus (reported here previously) has developed APH1 - a new herbicide that effectively controlled weeds and grass known to have resistance to existing herbicides. APH1 had no harmful effect on agricultural crops such as corn and cereals.
https://www.agplenus.com/copy-of-pr-corteva
 
Oracle opens cloud data center in Jerusalem. US tech giant Oracle, with Israeli systems integrator Bynet Data Communications, is launching an underground data center in Jerusalem. Oracle is the first global tech giant to open a cloud region in Israel and stated it constitutes “an unprecedented investment in Jerusalem”.
https://nocamels.com/2021/02/oracle-launch-underground-cloud-data-center-jerusalem/
https://www.timesofisrael.com/oracle-to-set-up-regional-cloud-center-in-jerusalem/
 
A virtual global SIM card. Israel’s Simtex provides a solution for travelers needing a low-cost Internet data-only package overseas for their smartphone, tablet or computer. No physical SIM is needed, just scan a QR Code. Most countries available. https://simtex.io/  https://www.youtube.com/watch?v=pgOJKQGwU_E
 
An iToF camera. Israel’s Tower Semiconductor (reported here previously) and China’s OPIX have developed a Time-of-Flight (iToF) technology platform where sensors accurately measure the distance to an object. Its applications include 3D imaging, face recognition, Augmented Reality, industrial inspection and robotics.
https://towersemi.com/2020/12/15/12152020/
 
Drone finds its way without GPS. Israel’s Sightec (reported here previously) has achieved the first-ever autonomous flight of a drone to its destination without GPS navigation. The drone flew five routes in southern Israel using Sightec’s NavSight software, that turns its cameras into smart “self-aware” sensors.
https://www.timesofisrael.com/in-first-delivery-drone-gets-to-destination-in-israel-without-gps-signal/
 
 
ECONOMY & BUSINESS
 
Even more reserves. Almost every month Israel hits a new record for its reserves of foreign currency deposits. In Jan 2021 they rose by another six billion dollars to almost $180 billion. The Bank of Israel is selling Shekels to encourage exports, but the value of the shekel keeps rising due to global confidence in the Israeli economy.
https://www.boi.org.il/en/NewsAndPublications/PressReleases/Pages/7-2-21.aspx
 
Record Japanese investment. In 2020 Japanese firms invested some $1.1 billion in Israel – 20% higher than in 2019. (In 2015 it was just £87 million.) Japan now accounts for more than 11% of all foreign investment in Israeli high-tech (compared to under 2% in 2016). Mitsubishi and Sumitomo were the largest investors.
https://www.timesofisrael.com/japan-israel-ties-blossom-as-2020-investments-reach-record-1-1-billion/
 
Plenty of funds for new startups. A recent survey by US-Israel Ground Up Ventures debunks reports that there is a drought of funds for new Israeli startups. 37 of Israel’s leading venture funds they surveyed made 145 investments at the seed stage in 2020 (rising from 112 in 2019). The average investment also rose - by 20%.
https://www.calcalistech.com/ctech/articles/0,7340,L-3891311,00.html  https://www.groundup.vc/
 
An impossible year. Israeli VC firms JVP, Pitango and Qualcomm thought the coronavirus pandemic would sink many Israeli startups. But something crazy happened - the opposite occurred, and funds flooded in. They found that business can be done without face-to-face meetings and that (in Israel at least) anything is possible.
https://www.calcalistech.com/ctech/articles/0,7340,L-3891591,00.html
 
The crisis with a silver lining.  Caja Robotics (reported here previously) is another Israeli company that learned how to adapt to the new normal during the coronavirus pandemic. It used video in recruitment and communications but despite its robotics systems, Caja focused on the human aspects of employee relations.
https://www.calcalistech.com/ctech/articles/0,7340,L-3892133,00.html
 
The end of the exit. This article by newsletter supporter Zev Stub describes Israel as the Scale-Up Nation. Relatively few Israeli startups exit in takeover events, but rather expand to become billion-dollar “Unicorns” (nine new ones in the last three months). Another 80 Israeli companies are publicly traded in the US.
https://www.jpost.com/jpost-tech/with-huge-tech-growth-israels-start-up-nation-becomes-scale-up-nation-658247
 
An index fund of the big 50. Israel’s Big-Tech 50 R&D Partnership has launched on the TASE, raising NIS 85 million to build a portfolio of the 50 largest private Israeli tech companies. In two years, the portfolio will hold NIS 1 billion worth of shares, resembling an index, and will allow investment in those companies.
https://www.calcalistech.com/ctech/articles/0,7340,L-3891571,00.html  https://www.bigtech50.com/
 
Miami to Tel Aviv. The skies could be open again soon. Starting in June, American Airlines will operate a 12-hour non-stop service, 3 times a week, from Miami to Tel Aviv. It follows the May start of its New York to Tel Aviv service and (later in September), its Dallas to Tel Aviv route (both reported here previously).
https://jewishbusinessnews.com/2021/02/09/american-airlines-becomes-the-only-u-s-carrier-with-nonstop-service-from-miami-to-tel-aviv/
 
Know your customers. Israel’s Leadspace has developed a Customer Data Platform (CDP) that uses Artificial Intelligence (AI) to help businesses manage their customers. Its clients include Salesforce, American Express, and Zoom. It has just raised $46 million of funds including from Jerusalem Venture Partners (JVP).
https://www.calcalistech.com/ctech/articles/0,7340,L-3891303,00.html   https://www.leadspace.com/
 
Card-less credit cards for businesses. Israel’s Mesh Payments (reported here previously) has developed a solution to replace business credit card transactions with an entirely card-less platform. Mesh issues virtual cards for both online and offline payments, linking with mobile wallets e.g., Apple Pay, Google Wallet etc.
https://www.calcalistech.com/ctech/articles/0,7340,L-3892611,00.html
 
Big deals for vegetable collagen. Israel’s Collplant (reported here previously) has closed big deals with Canada’s STEMCELL Technologies to supply plant-based collagen for STEMCELL’s cell culture media kits. Also with Allergan Aesthetics (worth $100+ million) for dermal and soft tissue filler products.
https://ir.collplant.com/news-events/press-releases/detail/99/collplant-announces-development-and-global
https://ir.collplant.com/news-events/press-releases/detail/98/collplant-to-supply-rhcollagen-to-stemcell-technologies-for
 
Protecting Europe. In addition to its recent massive contracts with Greece and UK navy, Israel’s Elbit Systems also recently won a $338 million contract with the Swiss Army; with the Netherlands ($65 million$24 million) and $82 million, Romania ($27 million), UK army ($137 million) and also with Spain.
 
Investment in Israeli startups: Big-Tech 50 raised $26 million; Leadspace raised $46 millionUkko raised $40 millionGranulate raised $30 millionEvinced raised $17 millionMesh Payments raised $13 millionUNIPaaS raised $10 millionNeuReality raised $8 million;
 
 
CULTURE, ENTERTAINMENT & SPORT`
 
US dramas made in Israel. Israel’s Keshet Studios has renewed its deal with media and entertainment company Universal Television for the third time.  The Israeli production studio will be developing two new dramas for NBC, “The A Word” and “Ties That Bind”. NBC also recently picked up Keshet drama “LaBrea”.
https://www.timesofisrael.com/keshet-renews-major-deal-with-universal-tv/
 
Israeli tech in Super Bowl ad. Israeli-founded Fuse.ar used its Alternate Reality filter in the Super Bowl ad for Dexcom – a diabetes management company. In the ad, actor Nick Jonas (who has Type 1 diabetes) becomes an old man, thanks to the special effects from Fuse.ar. His 30 million Instagram followers need not worry though!
https://www.calcalistech.com/ctech/articles/0,7340,L-3892449,00.html   https://fuse.ar/
 
More endings and beginnings. On Sunday 28th Feb there is another opportunity to watch Center Stage Israel’s live production of Endings & Beginnings, previously performed in December. Enjoy songs from the stage and charts that celebrate the fact that with every ending there is a new beginning.  Smiles are returning to our faces.
https://www.centerstageisrael.com/online-at-center-stage.html
https://www.youtube.com/watch?v=89PH3PAXcsQ  (sneak preview)
 
 
THE JEWISH STATE
 
 
Helping vaccinate the vulnerable in 36 cities. In January, Israeli emergency NGO United Hatzalah volunteers began taking seniors in Mevaseret Zion to vaccination centers (reported here previously). It is now transporting the elderly, disabled and self-isolating for their life-saving inoculations in 36 Israeli municipalities.  
https://israelrescue.org/blog/building-bridges-in-beit-shemesh-and-beyond/
 
Different views of Jerusalem. Sharon took some unusual recent photos on The Real Streets of Jerusalem. They include a clear view of the Knesset menorah, street signs “Jerusalem is Giving a Shoulder” (vaccinating), Gan Sacher Park’s memorial candle, the green roof on Jerusalem’s Bird Observatory and a very strange fisherman.
http://rjstreets.com/2021/01/31/did-you-see-these-jerusalem-photos/
 
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Through Joe Manchin, West Virginia may rule the roost

By Salena Zito

SILVER GROVE, West Virginia — West Virginia is a very special state, not just because of the spectacular geography, but also the people. Like many whose lives are conducted outside the engagement of social media or the spotlight of cable news, they are hospitable to a fault, pretty unlikely to ask you who you voted for, authentic, skeptical, hardworking, and proud of where they are from. 


Click here for the full story.

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Ross Rants

The political theater is done. Now maybe the country can move on. Article II section 4 is clear, there never could be a constitutional trial of a person who was not an official. That was why Roberts refused to officiate. Pelosi waited too long to send it over, and when she did, the Senate was in recess and there was no possible way to get it back in session before January 20. Lawyers always taught me you have to stay within the four corners of the document. The constitution is completely clear.  You have no authority to try a private citizen, but only an official. End of story. Trump is gone now, so maybe they will let the country move on, or maybe some US Attorney in DC will file charges of accessory after the fact, and start the whole fiasco all over again. .

 

Here is some data that is illuminating, and will provide good perspective. Unemployment is heavily concentrated in certain states, and in a few job types.  NY, San Fran, Vegas, and Boston had the worst unemployment by far. NY Metro has 1 million unemployed-10% of total-NY has 6% of US population.  Vegas was due to nobody traveling and being close to 100% dependent on tourism. The best stats were Austin, Dallas, Phoenix and Atlanta where there was not the massive shutdowns. Hospitality was responsible for 3.7 million lost jobs, 37% of total, followed by government 1.26 million,  and education 1.2 million for a total of 6 million unemployed-60% of total.

 

So the real issue is not spending $1.9 trillion on a wide array of left wing wants such as $5 billion on homeless-mainly in CA and OR and Seattle, or tens of billions on “climate change things, etc. that have zero to do with the virus, and none of  which will  help the economy return to normal. For further perspective the number of people unemployed in February before the shutdown with a 3.5% rate, was 4.4 million.  So if there are 10-12 million now, that is not the total number who we need to get reemployed.  It is more like 4-5 million jobs, an achievable number by late summer if everything including schools are reopened soon, and we get to mid-May with vaccine administered.  

 

I don’t have data to prove this, but just anecdotally it is my sense that many companies are doing very well, and when the economy fully opens things will really hum as CA, NY and IL let hospitality reopen. Earnings for the Russell 2000 have been excellent, suggesting that mid-sized companies are doing well. Just take Anaheim.  If they would let Disney reopen, thousands of jobs get reinstated not just at Disneyland, but at the hotels and restaurants in the area. If NYC let restaurants reopen fully, hundreds of thousands of jobs return.  And now there is a public news report that Biden actually has considered a ban on travel into and out of FL. I would love to see that one tried.

 

In case you missed it, oil is just below $60, up from $35.79 on Oct 30, and $10.01 0n April 21. Low income people just got the equivalent of a big tax increase, so Joe’s answer is shut down fracking and the pipeline. Makes perfect sense.

 

Savings data breakdown: the top 80% of taxpayers saved 75% of the excess savings and the 60%-80% cohort saved 10.2% but spends 20% of all personal outlays. The bottom 20% saved 3.5% of excess savings and account for 3% of personal outlays. In a new survey, people making under $50,000 said they saved 17% of the last check and will save 29% now , and people making over $100,000 saved 41% of the last check. So as is logical, the wealthy top 20% saved the most because they have the most excess disposable income, They will likely use these savings to invest, or donate to good use. The bottom 20% is able to save excess to their norm which means they are doing OK on average, and the mantra from the Fed that they don’t have $400 saved is likely not true, as several analysts have contended. What is of note is that few need the whole $1400, so it is a waste which is why some Dems agree they should lower the income levels.

 

The real solution is to get as many people vaccinated as possible, as fast as possible, and get schools fully reopened 5 days a week, not one day a week, and end all lockdowns which have now been proven to have caused far more problems than they solved. As of now, around 50 million have had at least one shot. That is more than all the Covid positive tests to date. Mid-February.  They are doing 1.66 million a day and ramping up. Let’s just use 1.5 million. By May 1 that is 113 million more. Over 30 million are immune because they had the virus. That is a total of 143 million had at least one shot, or had the virus, and most of the number will have had a second shot by May. Now add J&J starting March 1.

 

So add a minimum of another 30+- million, total now 173 million. Add kids under 18 or 72 million more= 245 million by May 1 that are low risk or immune. That is more than 75% of the total population. Kids will get vaccinated over the late summer.  If almost all  nursing home residents are vaccinated, as they will be, and most very vulnerable co-morbidity people, the hospitalizations and deaths by May 1 will be nominal.  Less than in a normal flu season where 60,000 on average die. The government and press are hyping this with constant daily, oh my God this is terrible pronouncements. Reality- the US has already given 30% of all the shots across the world.  We are doing great by comparison. Stories in the press are always about some minimally educated single mother with 2 or 3 kids who can’t pay the rent. Her issue is not the virus, it is bad life choices.

 

It is all political. The White House admits this is all about 2022, not about solving the real problem. Saying one day a week to have schools open is not having schools open. It is cover for the teachers unions. It is outrageous politics instead of kids welfare. If they did what I have laid out above there is minimal need for another wasteful spending program which has tens of billions for groups favored by the White House. It will not create jobs. Only the private sector being fully opened will do that. Clearly the White House is counting on, if they give away enough free money to voters, they will combine that with the impeachment hearings, and be able to win in 2022. That is what is really going on. You add on HR1, and the Dems believe they will retain complete control of DC for years to come.

 

In case you are delusional to think $1.9 trillion is going to the needy workers, or to the poor, or to good use, here are just a couple of examples of the many things in the $1.9 trillion- $300 million to migrants-I assume to give money to illegals coming across now, $5 billion for the homeless-I guess we pay then to take drugs and live in tents, $20 billion to USPS-instead of fixing the system, $300 million to Endowment for Arts, $300 million for Endowment for Humanity-never heard of this one, $30 billion Dept Of Education-they already have a large budget, $300 million to NPR (devoted to Democratic views), $25 million of cleaning supplies for the capital (That is a lot of toilet paper), $520 million for ADMIN costs for Social Security-maybe they are going to hire a whole additional staff, $1 Billion to Amtrak, $13 million to Howard U-racial equality feel good stuff.  

 

Supposedly, only a relatively small  amount  is actually to do with Covid, or to people who actually need it, but the mantra is, if they don’t pass this the economy will collapse, and people will be in the street starving to death-or that is how they make it sound.  Maybe they can house the poor in Kennedy Center. This is just a partial list, but Biden claims we need the $1.9 Trillion to save the economy, and for the suffering voters.  Keep in mind the bipartisan Problem Solvers said they had a bill for half as much that was targeted, and McConnell had one for $600 million that really was targeted to Covid. As Everett Dirksen famously said- a billion here, a billion there, and soon you are talking about real money. Think of it this way, only 50% of Americans pay any federal tax, so the cost of a $1.9 trillion bill for actual taxpayers is $12,102 per taxpayer. The 49% who think the $1.9 Trillion should be approved have no idea what is really in the bill. They only think they are going to get another few thousand in their bank account. Apparently some voters in GA are now angry because they are not going to get an extra $2000, but only $1400 because that was why they voted for the Dems. Just in case you still have any delusion about what all of this waste of money is really all about. Buy votes. And they are just getting started according to Biden. None of this is gong to create any jobs in the private sector.

 

I have read various articles that surmise that the political crowd, the press and the elites in DC and Silicon Valley were happy to take advantage of the virus, and make it into more than it really is. The elites in DC used it to go after Trump again. The press used it to go after Trump again. Silicon Valley saw it as a massive opportunity to make billions, and the health elites saw it as an opportunity to claim their models and what they perceived as intellectual superiority, ruled the world. The teachers unions saw it as an opportunity to cash in with big payoffs from cites and DC in the form of money that gets eventually translated into higher salaries and pensions since their pension programs are all gong insolvent. That is what is really behind the school shutdowns. I doubt any of these people conspired actively to collude on any of this, but they each seized on the opportunity to make it work for them, and we all paid a horrible price.

 

The minority kids paid the worst price of all. Their lives are seriously compromised if they live in a big city and cannot get in to a Catholic or charter school. The world has had pandemics before, and never a total shutdown.  The damage to the world, other than to China, has been horrific. Many people died who would not have, had they been able to see a doctor, and many small business owners would still be in business, or stay and their staff employed.  We will never know the real number, but it is clear to me that it paid $2000 per death for hospitals to say it was Covid, and not the real underlying cause of death like cancer or heart. This may have been to the worst catastrophe in US history and it did not need to be if the health experts like Fauci had used a much more all-encompassing analysis to make determinations on shutdowns, and if the teachers had not been greedy. Had they moved immediately to totally isolate nursing homes,  and mandated masks and distancing, in January or February, we could have avoided much of the worst ramifications.

 

We now constantly hear Trump being blamed for not having everyone already vaccinated. Reality as I have said before.  The vaccines were just approved 90 days ago. Around 50 million are already vaccinated. You can only produce it under very strict conditions so it takes time to roll out which  is what they said. Many states are simply incompetent when it comes to such a massive logistics challenge, so some states are a mess. The US is so far ahead (14% vaccinated) of the rest of the world, (3.7% in the EU), other than UK and Israel, it is not even a comparison. But Biden and the press blame Trump, when the real issue is everyone wants their shot yesterday, and there are unrealistic expectations of how fast all this is possible to happen.  Were it not for Warp Speed there would be no vaccine.

 

A ten year today yields you around .7% after tax depending on your state. Plus you will have a loss  of principal. Despite the best efforts of the Fed, rates will slowly rise from here. It is likely that in 2021 earnings will be very strong in 2H of the year so you should be much better off in the stock market for now. Low rates equal higher P/E ratios plus higher earnings means higher stock prices in the short run. However it also means everyone is further out the risk curve the further into the year we go. Low rates means many can’t retire on their CD or annuity, or on their bond yields. That combined with better health, keeps more old people working and fewer jobs for young people.

 

The real issue is real rates on the ten year are negative. Just for perspective, Airbnb is worth more than Marriott, Hilton and Hyatt combined. Door Dash is worth more than Wendy, Yum and Dominos. Tesla is worth more than the major auto companies. Some day this all has to get rectified by the market. Junk bonds now yield below 4%.  That is really out the risk curve. Companies with a lack of liquidity should be out raising all the junk debt they can  right now with the longest erm possible. Powell said inflation has been low for several decades and so we should not be fearful all the stimulus will increase inflation. Problem is he ignores we never had zero interest rates before, and that matters. One day this massive bubble is going to burst big.

 

Key stat. The VIX is at the lowest its been since February1. It is at 19.97.  It had hit 85.47 on March 18.  This means fear is out of the market right now which is good for higher stock prices. Some of us have long term fear.

 

The press fell all over themselves to compliment Cuomo and tout him vs Trump.  Now we find out there was a major coverup of the truth about nursing home deaths so Cuomo would look good and not have the DOJ find out what was really happening with all those deaths. It will be interesting to see how the press deals with Cuomo now. He should be in jail as he directly caused 15,000 deaths. What do we hear out of DC- crickets./ So now we have this in NY, and the possible recall in CA. Maybe all is not lost. The CA recall will be very telling.

 

The two top governors in the Dem party, and the biggest shutdown advocates are possibly going to be thrown out of office for their incompetence. If Cuomo gets to walk with no legal repercussions it will make the whole system a corrupt joke. Now Biden is nominating the woman in charge of CA Labor Dept as deputy Labor Secy.  Under her leadership CA has had over $30 Billion in fraud in the unemployment payments just in 2020. Sounds like a good choice to me if you want complete incompetence and waste. Keep in mind that the White House has said they are going to use CA as their template for how to do things. Ironic if anything ever was.

 

Biden expects to work with the EU in confronting Russia. A few days ago, at a public press conference, Lavrov, foreign minister of Russia, lambasted the EU as “an unreliable partner” while the foreign minister of the EU was standing next to him. Now Lavrov has said if the EU imposes more sanctions Russia will go it alone. Good luck Joe on your foreign policy that has hit a wall everywhere, from China, to Russia to Iran, all in just 21 days. And now the White House has refused to say Israel and Saudi are important allies. “It is under review”. And now they intend to go back to funding the Palestinian Authority where the money gets corruptly stolen. Great message to Iran and Palestinians. The Dems lambasted  Trump for stopping support for WHO because they covered up for China. Biden rushed to rejoin. Tis past week WHO again covered up for China and claimed the virus did not come from China, even though  they never were given the information they requested and needed. Now Biden is “very concerned” about the WHO investigation. Pompeo says there is little doubt it came from the lab. Now Biden looks like an idiot.

 

It is notable that Biden sets goals, like 100 million shots in 100 days, or 50% of schools open one day a week, when the goals are already more than achieved-schools- or they are well on the way to be over achieved-100 million shots. So the game is set very low goals that they later can say look what we over achieved. It is setting the tone for what we can expect over 4 years.  

 

This one will blow your mind.  OR now has a new training manual for math teachers. It teaches that math is not to be taught to get the right answer, as that is a characteristic of white supremacy. ????  I guess I am a white supremacist as I believe we should always strive to get the right answer to a math problem. It tells teachers “There should not be a focus on math being an objective subject with only right or wrong answers, and to teach that perpetuates fear.” Huh??  It tells teachers to come up with two right answers to math problems to promote “equitable outcomes for black and Latinex students”. In other words, minority students get to have a good grade for wrong answers to 2+2. Maybe it is really 5 or 6 in this new race based math world.

 

The manual for teachers states that there is no right or wrong answers in math. There could be various answers to a math problem.  That is news to mathematicians since a few thousand years ago.  Teachers are told to find ways to “show how math is used to promote capitalist, racist and imperialist views”. I am not making this up. We have hit such a level of absurdity that it is really scary that wrong answers in math are OK if you are  a minority.  It actually is as racist as anything since it clearly implies that minority kids can’t always get the right answers so the goal is to make them not feel bad by letting them give wrong answers. And then they wonder why black kids often get bad educational outcomes, and can’t succeed in the real world where 2+2=4. How are black kids ever going to be successful if this is how they are taught.

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