Trump is fueling censorship in the Middle East
Threefold increase in wildfire damage since Jan. 1 will burn 20K acres in California
In print: an exotic physics phenomenon called the chiral magnetic effect remains elusive
Huckabee targeted by class action suit over robocalls for war on Christmas movie
Bit harsh on the Queen Prince Phil
World money value compared to #Bitcoin @calestous
The average gamer is 35 years old
The socialist movement has taught me the ecstasy in the handclasp of a comrade.
Russia recalling ambassador who met with several in Trump campaign: report
Guardian front page, Monday 26 June 2017: MPs targeted in suspected Russian hack
Hundreds formed the CND peace symbol at #Glastonbury2017! READ
A crushing blow in the French elections is the latest setback for Europe’s far right
.@Beachbody CEO: file sharing and piracy ‘costs us millions’
Vettel disgraced himself, says furious Hamilton
Billionaire Koch brothers to spend $400 million on politics and policy in 2018 midterms
Europeans have favorable views of Germany, but are wary of German power within the EU
While You Were Sleeping: 5 stories you might have missed, June 26 edition
So, you want to terraform Mars? Heres one way to do it.
Who Knew Eating Candy Could Be Good for You?! #Vegan
Celine Tam’s father answers allegations of exploiting girl’s success
Trump breaks with tradition, wont hold Ramadan dinner
Back in the days before Muslims were the target
More than 1000 clandestine graves found in Mexico.
10 idyllic Greek island retreats from Dezeens Pinterest boards:
Boy, 16, charged with rape of girl, 8, in Manchester park
Hinkley nuclear costs climb as deadlines slip (again)
Japan poised to begin informal trade talks with UK
Little Spanish shark also on The Mirror front page: British tourists in shark terror.
Conservative NYT columnist: Trump hasnt helped the voters who elected him
New Public and Private Funding Strategies for Urban Parks
Spains little shark makes it on to The Suns front page tomorrow: Brits holiday terror.
This common butterfly has an extraordinary sex life, @edyong209 reports
Madeleines, a new poem by Gary Allen:
Will Ferrell: Bush looked like the adult in the room compared to Trump
Print shows a futuristic view of air travel over Paris as people leave the Opera. Albert Robida, circa 1902.
TSA considers forcing airline passengers to remove books from carry-ons
This new robotic suit could help millions of stroke victims walk again @SeanaNSmith
US actor Danny Glover blasts Trump’s obsolete anti-Cuba policies.
Doctor charged with murder for prescribing horrifyingly excessive amount of opioids
Robert Sapolsky tells us about the three main brain systems we all possess as humans
Albanias Socialists set for election win
At 7 on @VICELAND, BUSINESS OF LIFE discusses the cost of going green.
Federal judge to consider halting deportation of Iraqis
British fund houses face year of redesign in battle for public’s trust
Pallinghurst set to vote through Gemfields takeover
The week ahead in business and finance
End of QE will slay zombie companies, top investor warns 
Despite ‘extreme weather,’ @SpaceX completes back-to-back Falcon 9 missions
Millennials are helping America save more money
Conway on GOP healthcare bill that cuts Medicaid: These are not cuts to Medicaid
Did today really happen? #NYCPride #NYCPride2017 #NYCPrideMarch2017
Sarah Thomson and Prof James Renwick. Govt is going The completely wrong way on transport @sarah_v_govt #climate
Albanias Socialists set to win parliamentary vote: exit poll
#BREAKING: At least 150 disappear after boat sinks in Colombia.
from @SethS_D Everybody Lies
Crude Oil 22.06.2017 Update
State Department allowing Russian diplomats to roam free in US: report
Prof James Renwick says we will reach 1.5 degrees in 5 years @sarah_v_govt
How to back up and protect your data from old smartphones, tablets, and computers
Insurance industry warned of fire risk month before tower block blaze: Financial Times
Death of a Hong Kong pop star: when city mourned Beyond singer Wong Ka-kui in 1993
Life With The Chevy Bolt — The First 1,200 Miles
It’s time to restore full power to the Voting Rights Act
Dont compare yourself to others... Via @CollectiveEvol
Mexican police chief, children among 11 killed in Veracruz.
Seven killed in gondola accident in Indian Kashmir
Eric Trump: Johnny Depp should go back to making movies
Inhumane society: ‘The Great Cat and Dog Massacre’
Band plays Side by Side outside Wgton High Court before the case @sarah_v_govt on #climateaction
GOP ObamaCare repeal bill could send insurance markets into death spiral
(New post) Long live the reflation trade! $SPX $SPY $ACWI
The Killers return to #Glastonbury with a secret set as the festival draws to a close
Why does it seem like more meteorites fall on Antarctica?
The left was wrong—Trump did not produce anti-Semitic hysteria.
A refreshing twist on a #summer classic.
Pence officiates Mnuchins wedding
These 4 Conservative Senators Say They Can’t Vote for GOP’s Draft Health Care Bill
Sarah Thomson herself looking determined outside Wellgtn HighCourt @sarah_v_govt #climatecrisis
Colombia detain 8 suspects in Bogota mall bombing attack.
Detentions as police break up Istanbul Pride parade
Trump administration eliminates funding for group countering white nationalism
Beloved hippo Fiona frolics with mother Bibi to crowd approbation at Cincinnati Zoo:
Treasury official: The next financial crisis could look nothing like the last one
Kasichs website hacked to show ISIS propaganda
People are gathering outside Wellington High Court before the case of @sarah_v_govt on #climatechange
Justice Kennedy-watch:
This foreign Soros-backed media outlet bashes conservatives.... with U.S. taxpayer dollars.
How four boys survived being forced to kill for Boko Haram. @satopol
Chimps will help complete strangers in need -- even if it costs them @russmclendon
As many as 90 accounts hit by cyberattack on British parliament
CNN imposes strict rules on Russia coverage after retracting Russia story
What is the free market welfare state for?
Iraqi forces say major Islamic State attack blocked outside old city of Mosul
Records smashed in latest Mount Olympus race
A burning Zionist and non-Zionist debate the settlements
Google to stop reading your Gmail to help sell ads
Smartphones are common in advanced economies, but digital divides remain
Republican marketing firm leaks personal data of 200 million voters
Trump’s withdrawal from Paris was a nod of respect to American citizens. @SenMikeLee
What if everyone in the world became a vegetarian?
Billionaire Koch brothers to spend $400 million on 2018 midterms
60-year-old Arkansas prison escapee on the run for more than three decades recaptured
What is behind the campaign to silence Al Jazeera?
Traders lost millions in the first ethereum flash crash
Lee Hsien Yang, estranged brother of Singapore PM, seen in HK
Here are some of the most incredible nature photos youve sent us #PopSciLovesNature
Russia recalling ambassador who met with several in Trump campaign: report
My companion in a pod on the London Eye was none other than Death, destroyer of worlds
HHS secretary disagrees with Trump on Ebola aid workers, reports @julieebeck
An innovative high school teacher is using rap to teach students about the free market.
GOP senator: Im not committed to the GOPs ObamaCare repeal bill
Merkel signs Kohl condolence book in chancellery
Breaking the Divestment Cycle: Predicting Abandonment and Fostering Neighborhood Revitali
Check out the latest Bridges for community development innovations and ideas #stlfedcd
Invest in Britain’s armed forces to boost the economy, says PwC
Russia Has Doubts About the Almighty US Dollar
Jimmy Kimmel to GOP senator: Follow test you created to stop families from losing healthcare
Detentions as police break up Istanbul Pride parade
In Pictures: Muslims in Asia pray for peace as Ramadan holy month ends
Sombre Eid al-Fitr for Qatar as Gulf blockade continues
uh, hard pass on that patio.
More high-rise apartments deemed unsafe for residents
We are more united: Qataris celebrate Eid as Gulf blockade continues
Sens. Susan Collins, Rand Paul express doubts about Senate GOP health care bill
Sports Digest: Greek women fourth in Eurobasket
Inside the prison in Chechnya where gay men say they were tortured:
House Dem: We need to figure out our leadership before 2018 elections
Mosul celebrates first Eid without ISIS in years
Mitch McConnell refused to meet with the group that funded his polio recovery
Trump’s Airport Reform Could Lead to Lower Ticket Prices
Trump returns to his Virginia golf club, plays 18 holes: report
Falcon 9 first stage has landed on Just Read the Instructions.
Israel attacks Syrian posts after cross-border fire from Syria
A $50,000 Chrysler van explains why U.S. auto sales are slowing
How Does #Bitcoin Actually Work? [via @Blockgks] #Blockchain #Fintech
Marble statue of Lucretia committing suicide after her rape, by 18th century French sculptor Philippe Bertrand.
Top GOP senator: We can pass ObamaCare repeal bill by July 4 but its going to be close
Trumpcare Will Bring Chaos to Health Care Market via @kdrum
Top Democrat slams Obama administrations response to Russian hacks
How to back up and protect your data from old smartphones, tablets, and computers
What will become of Cambodia’s endangered tuk-tuk drivers? #ThisWeekinAsia
How self-driving trucks can create more jobs than they kill by @MylesUdland
#SydneyWinter ☀️ @OperaBarSydney @sydney_sider
FX Daily, June 21: Heavy Oil Weighs on Yields and Lifts Yen #FXTrends
Wow this is Shin/BIS mapping “circulating” capital onto GVCs!
OCBC Bank rolls out HR app and chatbot for employees
#AI Changing the Game for Insurance #insurtech #fintech #machinelearning
TSA considers forcing airline passengers to remove books from carry-ons
Main engine cutoff and stage separation confirmed. Second stage engine burn underway.
@FinMKTG Japanese bank Nomura is moving its EU base from London to... via independent
Just published: front page of the Financial Times international edition for June 26
These civil asset forfeiture reforms are great news for property owners.
Just published: front page of the Financial Times UK edition for June 26
Top Misconceptions of Non-EV Drivers (CleanTechnica EV Report)
Sanders draws thousands to rallies protesting GOP ObamaCare repeal bill
10 designers to watch from the London College of Fashions BA Fashion show:
This beautiful replica of the moon is floating around London
Raw: Crowd Catches Teen Falling from Park Ride
Behind big pharmas race to develop the next wave of cancer therapy
The celebration of Eid al-Fitr around the globe #EidMubarak
Conservative NYT columnist: Trump hasnt helped the voters who elected him
How many lawmakers advocating a $15 minimum wage hire unpaid interns?
WATCH: @jasoninthehouse tells @SharylAttkisson why Washington doesnt change.
Why our brains are split into left and right (and why it matters):
Trump breaks with tradition, wont hold Ramadan dinner
New Post: What Is Bitcoin and How Does It Work? #EconMatters
Putin recalls Russian ambassador at center of Trump collusion investigation
Toronto firefighters here. #PrideTO
Week ahead: Western Finance Association (Whistler) (programme includes hyperlinked papers)
Great Gold vs Great White: Michael Phelps to race shark
The Trump administration is systematically dismantling Title IX
Battle-weary Syrians take advantage of cease-fire to celebrate Eid al-Fitr, Ramadans end
Conway on GOP healthcare bill that cuts Medicaid: These are not cuts to Medicaid
Audio and podcasting: See patterns and longitudinal data in our new fact sheet
Watch live as SpaceX launches its second rocket in 48 hours
Week ahead: Sintra conference for @ECB with live webcasts 26 to 28 June #centralbanking
Eric Trump: Johnny Depp should deal with his own problems after Trump assassination joke
Qatar wants US help negotiating end to sanctions
The message is simple at NYC Pride parade: #LoveisLove #Pride2017
the puppy mill pet store in my neighborhood is not taking no for an answer
How Adam Neumann built WeWork into a £14bn company redefining office culture
Serbian LGBT community hails expected historic election of first openly gay prime minister
U.S. top court to rule on last cases as talk about Kennedy swirls
NEW: Lawmakers to Homeland Security: Do more to stop election hacking
Analysis: Is Israel responsible for the impending collapse of Gazas health sector?
June 25, 1678: Elena Cornaro Piscopia becomes the first woman to receive a doctorate, at University of Padua.
Megyn Kelly’s much ballyhooed interview with Alex Jones was a ratings catastrophe
Shark on Spanish beach story currently leading the Daily Mails version of the world.
Three-quarters of Facebook users and half of Instagram users use each site daily
White House condemns Pakistan terror attacks that killed over 80 people
Wharton’s No. 1 professor: Never give up is bad advice. Sometimes quitting is a virtue.
Policy ponder: central banks head for the Portuguese hills via @Reuters
EU Commission clears state aid for Veneto banks via @Reuters
Recycled Falcon 9 rocket survives one of SpaceXs most challenging landings yet
State Department allowing Russian diplomats to roam free in US: report
Last one. Im having a pleasant evening.
Eric Trump: DNC chair Tom Perez is a nut job
After hosting ‘ecomobility’ festival, cars are back but less loved in Suwon
28–40% of EV Drivers Have Solar Panels (CleanTechnica EV Report)
Trump’s immigration allies are growing frustrated with him, @priscialva reports:
Pence officiates Mnuchins wedding
GOLDMAN SACHS: The death of malls will fuel degentrification
Only the most pressing issues of the day at the US investigative journalism conference #IRE17
Why its too hot to fly in Phoenix
118 US Mayors Endorse 100% Renewable Energy Goals #cities4climate Doing it for themselves
China is moderating economic weaknesses and may become reliable global engine in 5-15 years
The crew.
Kasichs website hacked to show ISIS propaganda
Reading the Enemys Mail - exhibit @NimitzMuseum
I mean...
White House skips Ramadan celebration, breaking with 20 years of tradition
Investors call for Greece to make reforms
Garbage collectors to continue strike action through Thursday
Heres where nonprofits are raking in the most donations—and what they’re doing with them:
Billionaire Koch brothers to spend $400 million on 2018 midterms
Turkeys Erdogan says Arab demands on Qatar unlawful
Things I never learned in school... #living #health
Nearly 40,000 revelers join 48th annual pride parade in New York City
JUST IN: GOP senator: Im not committed to the GOPs ObamaCare repeal bill
Australia to seek greater powers on encrypted messaging at Five eyes meeting
Why endurance athletes hit the wall
IN PICTURES: Muslims around the world celebrate Eid al-Fitr 2017
Why China could be huge for MMA
Dioscorides of Anazarbus. First century Greek physician, botanist and pharmacologist.
Borio of @BIS_org on how asymmetrical globalization may dampen inflation
Steve Romick Bets On Retail Apocalypse With #Sears Debt $
JUST IN: Russia recalling ambassador who met with several in Trump campaign: report
David Einhorn – Tesla stock mispriced by a “huge, huge” amount
GOP ObamaCare repeal bill could send insurance markets into death spiral
Something for your Red-voting relatives to remember...
.@amazon just patented a drone skyscraper
Blue Jays closer Osuna reveals struggles with anxiety off the field From @Globe_Sports
Asia: Renewed economic growth in Asia with Market Growth SMI of 58.4 in June. #SMI
The Kiwano K01 Electric Unicycle Shrinks The Last Mile To One Wheel
Trump returns to Virginia golf club, plays 18 holes: report
#Automation will create new needs, new jobs, says @Floridi #fintech #AI
@hmeisler MTP Sep 23, 2007: Are we headed towards a recession. Russert - Right Question.
Iranian President Hassan Rouhani condemns unacceptable siege of Qatar
Kasich: Most vulnerable people wont be served by GOP healthcare bill
What inspired the Summer of Love? Mostly drugs.
From heatwaves to hurricanes, floods to famine - do you know these #climatechange hotspots?
This dolphins-eye video takes you along for a ride with a swimming cetacean:
GOP senator defends Planned Parenthood: It makes no sense to defund it
Australia wants Five Eyes to squeeze tech firms on encryption
Top Democrat slams Obama administrations response to Russian hacks
Sunday shows omit key consequences of GOP Senate health care bill

Tyler Durden
Both ECB And BOJ Are Just Months Away From Running Out Of Bonds To Buy
1 month ago

With the Fed contemplating whether to hike again next month and start "normalizing " its balance sheet before the end of 2017, the two other major central banks are facing far bigger problems.

* * *

Two months after the BOJ quietly started tapering its QE program, when it also hinted it may purchase 18% less bonds than planned...

... Governor Haruhiko Kuroda admitted last week that the Bank of Japan’s bond holdings are currently growing at an annualized pace of only ¥60 trillion ($527 billion), 25% below the bottom-end of its policy range, and confirming that without making any formal announcement, the BOJ has quietly followed the ECB in aggressively tapering its bond buying program.

Under questioning from opposition party lawmaker Seiji Maehara, who noted that the pace of bond accumulation by the BOJ had slowed, Kuroda said the trend could continue, without elaborating. He noted that the central bank’s target is to control interest rates rather than the amount of bond purchases. "This development signals to me that they are going with rates without talking about a quantitative target," said Atsushi Takeda, an economist at Itochu Corp. in Tokyo. "That will be better when they think about an exit.”

While the BOJ's purchase slowdown has been visible for months in data released by the central bank, Kuroda’s confirmation of this reality in parliament last Wednesday marks a stark change. As Bloomberg notes, until now he’d struggled to emphasize that the annual pace could vary from an indicative 80 trillion yen, depending on the state of the economy and financial markets. He now appears to have thrown in the towel.  Meanwhile, investors are watching for any hint of tightening in monetary policy amid speculation that the central bank’s bond purchase regime is unsustainable and as consumer prices in Japan are expected to pick up later this year. The most likely way for the BOJ to begin tightening would be scrapping the 80 trillion yen guideline altogether, especially since the central bank is no longer following it.

"The Bank of Japan appears to be ramping up its efforts to improve communication with the market to lay the groundwork for its next move - tapering," Bloomberg Intelligence economist Yuki Masujima wrote in a report on Kuroda’s remarks.

What was surprising to markets is that Kuroda's unexpectedly hawkish comments had virtually no impact on the market last week; if anything they led to an even weaker Yen, something which on the surface would seem paradoxical; however it was reassuring for the BOJ and could boost arguments in favor of dropping the 80 trillion yen reference point.

Speaking in an interview with Bloomberg in April, Kuroda said the BOJ would keep as a reference point the aim of increasing its holdings of government bonds at a pace of around 80 trillion yen per year. After four years of aggressive monetary stimulus, and with his term set to end in April 2018, Kuroda is still far from his goals while his Federal Reserve counterpart Janet Yellen is taking rates higher and policy makers in Europe debate tapering. These three central banks have all run up huge balance sheets since the financial crisis after buying bonds and other assets.

In an unexpected admission that even central banks are subject to simple math, Kuroda also revealed some of the BOJ’s modeling on balance sheet risks, indicating that a BOJ simulation found that a 100bps increase in long-term yields could mean a valuation loss of ¥23 trillion on its bond holdings, equivalent to a DV01 of roughly a $2 billion.

* * *

And while the the BOJ is quietly tightening ahead of an inevitable official taper which it will have to commence over the next year as it runs out of monetizable private bonds to purchase, the ECB finds itself in a far worse situation as it may have just 4 months before it runs out of eligible German bonds to purchase. According to analyst calculations based on ECB bond-buying data published at the start of May, the European Central Bank bought roughly 400 million euros fewer bonds in Germany in April than its rules allow.

According to ABN Amro's Kim Liu, in April the ECB deviated from the capital key in Germany by around 400 million euros when excluding corporate and covered bond purchases and adjusting for Greece.

The shortfall raises questions about how close the ECB is to hitting its bond-buying limits in Germany, the euro zone's benchmark issuer and (at least until now) the deepest and biggest source of bonds under the ECB's QE program which is currently scheduled to run until the end of 2017.

"It was by far the largest deviation, at least for Germany, and for me suggests that on top of the political stress and smoothing of purchases, there are scarcity constraints for the Bundesbank," said Pictet Wealth Management senior economist Frederik Ducrozet, quoted by Reuters. "What it means is that the ECB has to be very cautious with its exit and if they don't taper within less than six months (of ending the programme) something might have to give."

Here's why:

ECB asset purchases are based on the so-called capital key, meaning the central bank buys a country's bonds in line with the size of its economy, making Germany the biggest source for the scheme. According to Barclays, if the ECB maintains its buying program as is, it will hit its mandated, 33% ceiling on German Bund holdings as soon as October, or just over 4 months from now.

Furthermore, according to calculations shown previously, based on ECB data in just six months the average maturity of monthly German debt purchases by the ECB has dropped to under five years from more than 10. That suggests that a shortage of longer-dated eligible debt is forcing the Bundesbank, which buys securities on behalf of the ECB, to take advantage of recent rule tweaks to buy more shorter-dated bonds. Reuters adds that while that shift was expected after last December's change allowing the ECB to buy bonds yielding less than the -0.40% depo rate, "the speed at which the Bundesbank put that to use has taken markets by surprise."

According to ABN's Liu, "this means that the average maturity of monthly German purchases remains much lower than those of other countries and that the Bundesbank continuously is forced to buy short-dated bonds with yields that are below the ECB's deposit rate."

Germany is not the first country whose bonds are becoming scarce: the ECB has already deviated from the capital key in Ireland and Portugal, where it is running out of bonds to buy. However, the latter two countries are tiny in terms of supply compared to the budgeted monthly purchases from Germany. The German bond scarcity shows that the ECB would struggle to extend the scheme without further changes to its own bond-buying rules, and one option is simply to raise the 33% self-imposed ceiling, although that would likely require a substantial political intervention, and it would also make the European bond market even more illiquid as the ECB ends up owning half of German bonds.

* * *

For now, the ECB has been lucky: the economic situation in Europe has been improving, with inflation posting a modest pick up, and all signs suggesting that Mario Draghi will be able to taper - not because he wants to but because he has to. Last Monday, ECB board member Yves Mersch said the ECB was close to replacing its negative view on whether the euro zone economy would reach growth targets with a neutral one, providing yet another justification to reducing its unsustainable bond purchases.

As a reminder, in December the ECB already tapered its monthly purchases by €20 billion to €60 billion in April, while money markets price in roughly a 70 percent chance of a rate hike in early 2018.

"The ECB can always get around its rules, it has the flexibility on whether to buy central government or local government or agency debt to fulfill its quotas," said Marchel Alexandrovich, senior European economist at Jefferies. "But the longer QE goes on, the more the ECB will have to think about changing the rules again ... And the issue now is the willingness to carry on with QE."

Indeed, and as for European false dawns, just ask Jean-Claude Trichet and the infamous rate hike of 2011 which launched the most serious leg of the European sovereign debt crisis. Should Europe's economy turn south again and the central bank be forced to keep or even boost its QE, Mario Draghi bank may suddenly find itself in very big trouble. That, or simply do what the BOJ has been doing for years, and start buying ETFs and single stocks.

One final point: even if all goes according to plan, recall that the only reason stocks are at all time highs, is due to the $250 bilion per month, or $1+ trillion YTD - an all time high - in central bank purchases; purchases which are only thanks to the ECB and BOJ. With both banks now having no choice but to trim their asset monetizations, the outlook for risk assets is anything but good.