SUNDAY 7/20/14

The shelling and gunfire intensifies in Israel and Gaza for day 13 of the conflict with five Israeli soldiers and about 350 Palestinians dead. Israel Defense Forces announce an escalation and expansion of the ground invasion into Gaza now three days along. Palestinians are fleeing the areas of fighting in Gaza creating a refugee and humanitarian crisis.

Nearly 400 people are combing the debris field of the downed Malaysian airplane in Ukraine to find bodies but the search efforts are seriously hampered by armed pro-Russian separatists prohibiting full access to the site. About 200 bodies are recovered but no one knows where the bodies are being taken. Ukraine and other governments around the globe are calling for Russia to become more cooperative but Putin is likely waiting until he is sure all the BUK missile remnants are removed before he joins the party. Video shows a BUK missile battery moving from East Ukraine back into Russia. Putin retaliates against the latest round of sanctions by prohibiting about one dozen Americans from entering Russia here forward.




[Text is Redacted: Purchase July 2014-07 to Read the Complete Chronology]

The immigration crisis continues at the southern border with human smugglers now shooting at border patrol agents. President Obama buckles under pressure and decides to visit the Central American nations this week to try and stop the mass migration he created due to non-enforcement of border laws. The majority of immigrants believe that once they enter the US since they will be allowed to stay and become citizens. The president has done very little to dispel this erroneous thinking since the immigrants will become democratic voters and allow the party to win future elections easier. Politicians on both sides of the aisle do what is only in their personal best interest instead of what is good for the country.

Wealthy high-paid tech workers continue to gobble-up real estate in and around San Francisco driving up costs and taxes which displaces the middle class and poor living their all their lives. The social classes in America continue to separate since the Fed policies have made the wealthy rich beyond their wildest expectations while the rest of the US pays the way suffering through structural long-term unemployment.

Graffiti appears on buildings in the Bay area in California, especially Latino neighborhoods, threatening that if the rich ‘hipsters’ do not leave within six months they will start to be systematically killed. The cars of the wealthy tech workers are already targeted daily with lights and windows broken, windshield wipers bent out of place, tires slashed and other nuisance acts. San Francisco serves as a microcosm of what is likely to take place across the US in coming months and years. The social classes will clash more greatly once the stock market rolls over for the much-needed intermediate and longer term correction since unemployment and frustration over the economy will increase.

The wealthy and top one percent are enjoying bountiful riches courtesy of the Fed’s easy money policies but what good is all that money if you are hated in life, routinely called greedy and destined to live in a gated community like a caged animal? America is likely headed into a period of social unrest like the 1960’s and 1970’s. If you drive a Mercedes, BMW or a Caddy, be careful where you park in San Fran. The seeds of social unrest begin to sprout.

Florida courts throw out a class action lawsuit in the tobacco industry and say RAI must pay $24 billion to a widow of a smoker who died of lung cancer. Reynolds American and MO, PM and LO may trade lower due to the rise in Florida litigation. RAI announced a deal in recent days to acquire LO and vows to appeal and fight the court decision. Stock market investors like the ciggy’s for the divvy’s but the overall dividend stock bubble is prime for popping.

Pro Golfer Rory McIlroy wins the Open Championship (British Open) at Royal Liverpool Golf Club at Hoylake, England. The win is McIlroy’s third major championship and third leg of the coveted grand slam of golf (winning the Masters, US Open, Open Championship (British Open) and PGA Championship). McIlroy needs the Masters green jacket in spring 2015 to complete the grand slam. The only other golfers able to win three major’s by the age of 25 were Jack Nicklaus and Tiger Woods. McIlroy sponsor NKE is happy as the talented golfer struts around in the newest Nike fashions and equipment.

The Israel-Hamas conflict is experiencing the bloodiest day of fighting thus far. The death count now totals over 400 Palestinians and 13 Israeli troops. 60 people are killed in one neighborhood that housed several rocket launchers. Israel maintains a strong move into Gaza determined to find and destroy the Hamas tunnels and weapons.

About 100 bodies from the MH17 doomed airplane crash remain strewn across the Ukraine countryside rotting in the hot sun. Drunken pro-Russian separatists are stacking bodies like cord wood in the back of stake body trucks. International outrage grows at the indecent treatment of human bodies but Putin does not offer any cooperation. Russia remains more concerned about removing evidence of the BUK missile attack than worrying about basic human decency.

The US southern border immigration crisis is out of control with ‘coyotes’ (the name given to human smugglers and traffickers) using jet ski’s to shuttle illegal aliens across the Rio Grande River into the United States. The world is spinning out of control on many fronts at once. General Motors halts all Cadillac sales due to faulty ignition switches. GM stock remains resilient to never-ending bad news since the hedge funds are supporting the company; at least until they don’t. S&P futures trade flat to lower with copper moving sideways.