week ending May 15

Janet Yellen Is Attempting to Consolidate the Fed’s Power to “Supervise” Wall Street Banks --By Pam Martens --You know there’s a problem when the media relations office at the Federal Reserve will not turn over the bio for one of its employees that Treasury Secretary Janet Yellen just tapped to be the acting head of a key Wall Street banking regulator. After days of media rumors that Yellen was set to appoint Michael Hsu, an Associate Director of the Federal Reserve’s Division of Supervision and Regulation, to be the acting head of the Office of the Comptroller of the Currency (OCC), Yellen made the announcement official on Friday. Hsu is set to assume that position today.  We had attempted to obtain Hsu’s bio from the Federal Reserve for days. We were told they had no official bio. We asked for the resume Hsu provided when he was hired. We received no response. We then asked the Treasury Department’s media relations office for Hsu’s bio. We received no response. What all the attempted secrecy is likely about is the fact that the organization chart for the Fed’s Division of Supervision and Regulation (that we sleuthed out on our own) shows that Hsu ranks significantly far down the chain of command at the Fed. In fact, ranking higher up in that Division than Hsu are six Senior Associate Directors; two Senior Advisers; three Deputy Directors; and one Director. According to the Fed’s organization chart, Hsu had 10 people reporting to him at the Fed as of April. At the OCC, he’ll have 3,400 people. The OCC supervises approximately 1,200 national banks that operate across state lines. Those banks include the Wall Street mega banks that are serially charged with frauds, like JPMorgan Chase and Citigroup’s Citibank. The OCC also supervises federal savings associations and the U.S. branches of foreign banks. The entities supervised by the OCC conduct approximately 70 percent of all banking business in the United States.Another overarching question is why would Janet Yellen, the Chair of the Federal Reserve from 2014 to 2018, need to reach into the ranks of the Federal Reserve for an acting head of the OCC?The OCC calls itself an “independent” banking regulator. Its own division for Large Bank Supervision employs 800 people, including numerous Deputy Comptrollers. Why not appoint a career employee from within the ranks of the OCC to be the acting head of the OCC?What does it do to the morale at the OCC for the U.S. Treasury Secretary to effectively say she has no confidence in the career employees at the OCC and has to go outside that agency to find someone she can trust with the job of acting head? The OCC hasn’t had a permanent head for almost a year. The last one was Joseph Otting, a Trump nominee with a dubious history at foreclosure king, OneWest Bank Group.

 Reuters poll: Fed's core PCE inflation concern threshold is 2.8% – economists (Reuters) - The Federal Reserve’s preferred inflation gauge would have to hit a high of 2.8% to discomfort U.S. policymakers, according to a Reuters poll which also suggested the central bank would tolerate that rate for three months at least before it acts. Stocks slumped and Treasury yields jumped on Wednesday after data showed annual U.S. consumer prices unexpectedly rose by the most in nearly 12 years in April, prompting earlier policy tightening bets. In the 12 months through March, the core personal consumption expenditures (PCE) price index - the Fed’s preferred inflation measure for its 2% average flexible target - increased 1.8%, the most since February 2020. That inflation gauge would have to rise as high as 2.8% to cause discomfort at the Fed, according to the median of 41 economists in response to an additional question in the May 10-13 poll. While forecasts ranged from 2.3% to a high of 4.0%, the most common response, or the mode, was 2.5%. James Knightley, chief international economist at ING, said, “I have put 2.8%, but to be honest anything above 2.5%. However, it is more about how sustainable it looks rather than a specific monthly figure and has to be viewed in the context of what is happening to growth and jobs.” “If we have core PCE above 2.5% in early 2022 as well, we will seriously have to consider an accelerated QE tapering with a rate hike before the end of the year,” he added.

Consumers Expect Higher Inflation, Posing Potential Trouble for the Fed - Americans are penciling in higher inflation not just over the next year but over the next five years, according to a survey measure that Federal Reserve officials have a history of watching closely. That could spell trouble for the central bank, which relies on low and stable inflation expectations as an enabler of its low-interest-rate plans. The University of Michigan’s consumer survey’s two inflation expectations indexes both surged in preliminary May data released Friday. The measure that gauges near-term inflation expectations popped to 4.6 percent from 3.4 percent. A closely followed index that traces expectations for the next five years rose less, but hit its highest level in a decade, jumping to 3.1 percent from 2.7 percent in April. The numbers are subject to revision and mark just one data point, but they come at a time when market-based inflation expectations are surging and real-world price gains are picking up faster than expected. That matters for the Fed, which is tasked with keeping inflation low and stable while fostering full employment. Inflation has been low for years — in fact, worryingly weak — and the Fed has pledged to keep interest rates low and monetary policy supportive of the economy until prices have risen above 2 percent and the pandemic-damaged job market has totally healed. But if expectations jump by too much, it could undermine the ability to stick with that plan. That’s because economists think that the modern era of low inflation owes partly to economic fundamentals — globalization, an aging population and technology — and partly to contained inflation expectations. After the Fed stamped down runaway price gains in the 1970s and 1980s, consumers and businesses came to expect price gains to remain steady and slow. Because shoppers were unwilling to accept higher prices, leaving businesses unable to raise them, that belief helped to drive reality. If inflation expectations rocket higher after years of slipping, it could make businesses feel more comfortable passing on labor or input cost increases to consumers — lifting real-world price gains. That’s the sort of thing that could turn today’s higher inflation - which is expected to be temporary because it is the product of data quirks, supply chain shortages and a demand surge tied to reopening from the pandemic - into a more long-lasting phenomenon. Measures of inflation expectations are notoriously tricky to understand, and the forces that drive inflation itself remain a hot topic in economics. But the new reading, coming in a measure that Fed officials have often cited, is likely to add fuel to an ongoing debate over whether big government spending, supply and demand mismatches driven by the economy’s reopening, and the central bank’s new policy of added patience could push price gains into higher gear.

Seven High Frequency Indicators for the Economy - These indicators are mostly for travel and entertainment.  The TSA is providing daily travel numbers. This data shows the seven day average of daily total traveler throughput from the TSA for 2019 (Light Blue), 2020 (Blue) and 2021 (Red). The dashed line is the percent of 2019 for the seven day average. This data is as of May 9th. The seven day average is down 36.9% from the same day in 2019 (63.1% of 2019).    The second graph shows the 7 day average of the year-over-year change in diners as tabulated by OpenTable for the US and several selected cities. This data is updated through May 8, 2021. This data is "a sample of restaurants on the OpenTable network across all channels: online reservations, phone reservations, and walk-ins.   Note that this data is for "only the restaurants that have chosen to reopen in a given market". Since some restaurants have not reopened, the actual year-over-year decline is worse than shown.    Florida and Texas are above 2019 levels.   This data shows domestic box office for each week and the median for the years 2016 through 2019 (dashed light blue).   The data is from BoxOfficeMojo through May 6th.  Movie ticket sales were at $19 million last week,  down about 92% from the median for the week.This graph shows the seasonal pattern for the hotel occupancy rate using the four week average. Occupancy is now above the horrible 2009 levels. This data is through May 1st. Hotel occupancy is currently down 17% compared to same week in 2019).   This graph, based on weekly data from the U.S. Energy Information Administration (EIA), shows gasoline supplied compared to the same week of 2019. As of April 30th, gasoline supplied was off about 10.2% (about 89.8% of the same week in 2019). Gasoline supplied was up year-over-year, since at one point, gasoline supplied was off almost 50% YoY in 2020. This graph is from Apple mobility. From Apple: "This data is generated by counting the number of requests made to Apple Maps for directions in select countries/regions, sub-regions, and cities." There is also some great data on mobility from the Dallas Fed Mobility and Engagement Index. This data is through May 8th for the United States and several selected cities.  The graph is the running 7 day average to remove the impact of weekends. : All data is relative to January 13, 2020. This data is NOT Seasonally Adjusted. People walk and drive more when the weather is nice, so I'm just using the transit data.  According to the Apple data directions requests, public transit in the 7 day average for the US is at 70% of the January 2020 level. It is at 70% in Chicago, and 65.0% in Houston - and moving up recently.  Here is some interesting data on New York subway usage.  This graph is from Todd W Schneider. This is weekly data since 2015. This data is through Friday, May 7th.  Schneider has graphs for each borough, and links to all the data sources.

 Q2 GDP Forecasts: Around 10% - From Merrill Lynch: We look for growth of 10.0% qoq saar in 2Q. [May 14 estimate]  From Goldman Sachs:  We left our Q2 GDP tracking estimate unchanged at +10.5% (qoq ar). [May 14 estimate]   From the NY Fed Nowcasting Report: The New York Fed Staff Nowcast stands at 4.9% for 2021:Q2. [May 14 estimate]         And from the Altanta Fed: GDPNow The GDPNow model estimate for real GDP growth (seasonally adjusted annual rate) in thesecond quarter of 2021 is 10.5 percent on May 14, down from 11.0 percent on May 7. [May 14 estimate]

CBO: Deficit through April hits $1.9 trillion - The federal budget deficit hit $1.9 trillion in the first seven months of the fiscal year, according to estimates released Monday by the Congressional Budget Office (CBO), larger than any full-year deficit before 2020. That figure is $449 billion, or 23 percent, more than the same period last year, only two months of which were dramatically affected by the COVID-19 pandemic. The increase alone is similar in size to the entire deficit in the same period of the 2019 fiscal year, which came in at $531 billion. The deficit rose $225 billion last month alone. The role of government spending in the economy has taken center stage since President Biden was sworn into office. Republicans have argued that the scale of stimulus and government spending he has proposed are far greater than what the economy needs to recover from the coronavirus pandemic. Biden pushed through the latest COVID-19 relief package, a $1.9 trillion behemoth, without Republican support. He has also proposed $4 trillion in additional spending on infrastructure and family support programs that he says will serve as investments in the economy's future prospects. Biden is meeting with both Republicans and Democrats this week to hash out a possible compromise over the hard infrastructure portions of the package, which the GOP says should cost no more than $800 billion. The precipitous rise in the 2021 deficit through April was due to government interventions to rescue the economy amid the pandemic. "Most of the increases in 2021 arose from spending for refundable tax credits (particularly recovery rebates), unemployment compensation, and the Small Business Administration’s Paycheck Protection Program," CBO noted in its report. Revenues were up 16 percent, perhaps in part because last year, some employers were offered deferrals on paying some of their taxes in response to the pandemic. Outlays, on the other hand, were up 22 percent, driven by stimulus checks, payments through Small Business Administration programs and additional unemployment benefits.

Biden to go one-on-one with Manchin - President Biden is having a one-on-one meeting with Sen. Joe Manchin (D-W.Va.) on Monday to discuss his infrastructure proposal, the White House said, a discussion that is likely to cover disagreements over the corporate tax rate. Biden has proposed raising the corporate tax rate from 21 percent to 28 percent to pay for his $2.3 trillion infrastructure proposal, a hike that Manchin has said is too high. Manchin has indicated he would support increasing the corporate tax rate to 25 percent. Manchin has also expressed general concerns about the price tag of Biden’s agenda, which also includes a $1.8 trillion plan to expand prekindergarten and community college and offer tax credits to low- and middle-income families. Manchin’s support is key to any bill that Democrats try to pass using the budget reconciliation process, where they need every Democrat in the Senate to vote in favor of a piece of legislation in order for it to pass. Biden said last week that he was open to compromise on his plans to raise the corporate tax rate but said he would not back a bill that is not paid for due to concerns about the deficit. “I’m willing to compromise but I’m not willing to not pay for what we’re talking about,” Biden told reporters on Wednesday. “I’m not willing to deficit spend. They already have us $2 trillion in the whole.” Biden is also trying to negotiate with Republicans on a potential compromise on infrastructure, and those efforts face a critical test this week.

Biden pleads with Republicans for bipartisan infrastructure bill - President Joe Biden completed three days of high-level meetings at the White House where he has sought some semblance of Republican support for the $2.3 trillion infrastructure bill his administration put forward last month. While repeatedly praising these talks as “good faith” negotiations, he has evaded the obvious contradiction: The party with whom he is bargaining denies his own legitimacy as president. The Republican Party is entirely subordinated to former President Donald Trump, who has declared the 2020 election a fraud and Biden an illegitimate president. On Wednesday morning, the House Republican Conference removed Representative Liz Cheney as its chair because she opposed Trump’s baseless claims of election fraud and held him responsible for the January 6 attack on Congress. House Minority Leader Kevin McCarthy engineered a swift purge of Cheney—in response to orders from Trump—and 90 minutes later was sitting in the White House meeting with Biden and Vice President Kamala Harris, side by side with House Speaker Nancy Pelosi, Senate Majority Leader Chuck Schumer and Senate Minority Leader Mitch McConnell. Afterwards McCarthy denied the obvious contradiction, saying that he now acknowledged Biden as the president and was not seeking to dispute the election any further. But his political office sent out a fundraising letter only minutes after the meeting, declaring, “I just met with Corrupt Joe Biden and he’s STILL planning to push his radical Socialist agenda onto the American people.” This political reality—that the Republican Party denies the legitimacy of the Biden administration—underlies the entire process of “bargaining” and “negotiations” which is under way. In keeping with the longstanding trend in American capitalist politics, the Democratic Party, which controls the White House and both houses of Congress, acts as the supplicant, and the Republican Party, which lost the 2020 presidential election by a considerable margin, seven million votes, acts as though it had a political mandate. Behind the Republicans there is a sizable fascist element spearheaded by ex-President Trump, with significant support within the institutions of the capitalist state, particularly the police and military. That support was given voice in an extraordinary open letter, published Monday and signed by 124 retired “flag officers” (former generals and admirals), vilifying Biden and the Democratic Party, and indicating their support for Trump’s claims of a stolen election.

 Biden: Workers can't turn down job and get benefits -President Biden announced Monday that his administration would affirm that workers cannot turn down a "suitable" job they are offered and continue to take federal unemployment benefits. “We’re going to make it clear that anyone who is collecting unemployment who is offered a suitable job must take the job or lose their unemployment benefits,” Biden said in remarks on the economy from the East Room, noting there would be “a few COVID-19-related exceptions” to the guidance. After a monthly report showed a slowdown in job growth last week, Republicans and business groups have argued that the supplemental unemployment benefits incentivized people not to work and should be done away with. Certain workers can get a $300 weekly supplemental unemployment benefit through the $1.9 trillion coronavirus rescue package that Biden signed into law in March. The increased benefits are slated to last until September. Critics argue the latest disappointing jobs report is evidence some aren't returning to work because of the benefits. Others argue there is little hard evidence to suggest this is a factor. Some have also pointed to the problem of child care as being a serious issue that is preventing some workers from going back to work. Biden's remarks on Monday signal the administration does not want to be perceived as providing benefits that might serve as a disincentive to work. The president did insist there was no evidence that the expanded unemployment benefits contributed to the slowdown in job growth during the month of April.

Pelosi: House Democrats want to make child tax credit expansion permanent -- Speaker Nancy Pelosi (D-Calif.) said Tuesday that House Democrats want to make the expansion of the child tax credit (CTC) permanent, after President Biden proposed extending the increased credit amount through 2025. “We want to have it longer,” she said at a virtual event. The event was focused on making people aware that they should file tax returns by the May 17 deadline so that they can receive advance payments of the expanded CTC this year. President Biden enacted a coronavirus relief law in March that includes a one-year expansion of the CTC. The law increases the credit amount from $2,000 to $3,600 for children under age 6 and to $3,000 for older children, makes the credit fully available to the lowest-income households, and directs the IRS to make advance payments of the credit on a periodic basis from July through December. The current expansion of the credit is just for 2021. Biden released a proposal last month, called the American Families Plan, that calls for the CTC to permanently be fully available for the lowest-income families and proposes to extend the other parts of the CTC expansion, such as the higher credit amount, through 2025. Many House and Senate Democratic lawmakers want to make the CTC expansion permanent, and have vowed to continue to push for permanence following the release of the American Families Plan. They say that the CTC expansion is important because it helps to reduce child poverty. Pelosi said that House Democrats are pleased that a one-year expansion of the CTC has been enacted, and are also pleased that the Biden administration wants to extend the expansion. But she also said that House Democrats want more than just an extension through 2025. An obstacle to making the child tax credit expansion permanent is the cost of doing so. Pelosi said that it would cost about $650 billion to make the expansion permanent in a bill based on Biden’s proposal, but that child poverty has an even greater cost to the U.S. of $800 billion to $1 trillion annually. “We figure it’s a saving,” she said.California man bought Lamborghini, luxury cars with PPP loan, prosecutors say -Prosecutors say a California man used a loan under the COVID-19 relief bill's Paycheck Protection Program (PPP) to purchase a Lamborghini and other luxury cars, according to a New York Times report. The U.S. attorney in the Central District of California announced on Friday that authorities had arrested Mustafa Qadiri on charges of fraudulently obtaining $5 million in loans under the program, which was meant to help businesses survive the pandemic.According to the press release, prosecutors claim that Qadiri ran four now-defunct businesses and in May and June of 2020 he submitted false PPP loan applications on those businesses using his employees' paid wages, and someone else’s name and Social Security number. He is accused of transferring the money to his personal accounts. Prosecutors say Qadiri spent the $5 million on vehicles, including a Lamborghini, a Ferrari and a Bentley. Prosecutors said police had seized the vehicles he purchased, according to the release.  Qadiri also is accused of spending the money on lavish vacations.A grand jury on Wednesday indicted Qadiri, 38, on four counts of bank fraud and wire fraud, one count of aggravated identity theft and six counts of money laundering.A spokesman for the U.S. attorney's office told the Times that if Qadiri is convicted, he could face up to a maximum sentence of 302 years in prison.

 US invokes emergency powers after cyber-attack on fuel pipeline --The Biden administration has invoked emergency powers as part of an “all-hands-on-deck” effort to avoid fuel shortages after the worst-ever cyber-attack on US infrastructure shut down a crucial pipeline supplying the east coast.The federal transport department issued an emergency declaration on Sunday to relax regulations for drivers carrying gasoline, diesel, jet fuel and other refined petroleum products in 17 states and the District of Columbia. It lets them work extra or more flexible hours to make up for any fuel shortage related to the pipeline outage.Commodity traders are also understood to be scrambling to secure tankers to deliver fuels by sea rather than pipeline. At least six tankers could be diverted across the Atlantic to bring gasoline from Europe to the US, according to reports. Others plan to use idle fuel tankers as temporary, floating gasoline storage in the Gulf of Mexico in case the outage is prolonged and threatens to drive fuel prices higher. Experts said on Sunday that gasoline prices were unlikely to be affected if the pipeline was back to normal in the next few days but that the incident should serve as a wake-up call to companies about the vulnerabilities they face.The pipeline, operated by Georgia-based Colonial Pipeline, carries about 2.5m barrels of gasoline and other fuel from Texas to the north-east a day. It delivers roughly 45% of fuel consumed on the east coast, according to the company.It was hit by what Colonial called a ransomware attack, in which hackers typically lock up computer systems by encrypting data, paralysing networks, and then demand a large ransom to unscramble it.On Sunday, Colonial Pipeline said it was actively in the process of restoring some of its IT systems. It said it remained in contact with law enforcement and other federal agencies, including the energy department, which is leading the federal government response.The company has not said what was demanded or who made the demand.However, two people close to the investigation, speaking on condition of anonymity, identified the culprit as DarkSide, which is one of the ransomware gangs in a criminal industry that has cost western nations tens of billions of dollars in the past three years. DarkSide claims that it does not attack hospitals and nursing homes, educational or government targets, and that it donates a portion of its take to charity. It has been active since August and, typical of the most potent ransomware gangs, is known to avoid targeting organisations in former Soviet bloc nations.

Colonial cyberattack stirs calls for federal pipeline oversight, reform | S&P Global Market Intelligence -- The shutdown of the 5,500-mile Colonial Pipeline Co. system following a cyberattack has revived calls for federal regulation of pipeline operators and reform at federal agencies. As of May 11, Colonial was returning portions of the critical artery for East Coast gasoline and refined fuel supply to service. While government officials and industry analysts did not anticipate widespread supply disruptions, the high-profile event caused filling station shortages in the Southeast and raised concerns about the prospect of future pipeline shutdowns at a time of rising cyberattacks. "This threat is not imminent. It is upon us," U.S. Secretary of Homeland Security Alejandro Mayorkas said during a May 11 White House press briefing. "The Colonial pipe ransomware attack is a stark example of what we have been saying for some time now." In the wake of the incident, Federal Energy Regulatory Commission Chairman Richard Glick reiterated his support for mandatory cybersecurity standards for pipeline operators. FERC approved minimum cybersecurity reliability standards for the electric power grid in 2008. Glick on May 11 said those standards do not mean the grid is secure, but they provide a "floor." He said he finds it "troubling" that there is not a similar regime for pipeline operators. Glick's comments echoed those of fellow FERC Commissioner Neil Chatterjee. During a May 10 interview on CNN, Chatterjee said cybersecurity standards should set a floor and called the Colonial incident a "wake up call." "I think every CEO in the energy sector and especially pipeline CEOs should immediately convene their incident management teams to do a deep dive review of their security posture and protocols," he said. In a June 2018 op-ed, Glick and Chatterjee said the time had come for minimum pipeline standards, particularly in light of natural gas's growing role in U.S. electric power generation. Shortly after Chatterjee and Glick expressed their views to Congress in June 2019, Moody's issued a report that found cybersecurity standards would bolster the creditworthiness of midstream companies and the electric power utilities they supply. On May 10, Moody's said the Colonial incident meant U.S. energy infrastructure assets will likely face heightened regulatory scrutiny. Asked if he agreed with Glick, Mayorkas said the Biden administration is discussing measures at the executive level and in partnership with Congress to "raise the cyber hygiene across the country." The Transportation Safety Administration within DHS has responsibility for pipeline cybersecurity. Mayorkas noted that DHS and TSA share information and best practices with pipeline operators. TSA also dispatches personnel to pipeline facilities to assess them and make recommendations. "There are different levels of strength and resilience across the critical infrastructure enterprise, and that is why we are so focused on making sure that the cyber hygiene across the entire enterprise is strengthened," he said. "And remember, in cybersecurity, one is only as strong as one's weakest link, and therefore we are indeed focused on identifying those weak links."

Biden races to get ahead of gasoline crunch -  The Biden administration is scrambling to ease the gasoline crunch that is causing scattered shortages and fears of price spikes in parts of the Mid-Atlantic and Southeast — one of the most economically and politically worrisome consequences of the cyberattack that shuttered one of the nation’s biggest fuel pipelines. The moves, including waivers of some environmental and labor rules to ease gasoline shipments, come as the closure of the Colonial Pipeline enters its fifth day, further straining a fuel market approaching its busiest season of the year. Already, industry estimates indicate that about 8 percent of gas stations in Virginia and North Carolina are out of fuel, even if supplies nationwide are ample enough to cope with demand. "We have gasoline," Energy Secretary Jennifer Granholm told reporters on Tuesday — the second day in a row that the White House had used its regular daily press briefing to address fallout from the pipeline hack. "We just have to get it to the right places." Pressing the point further, she said. "It’s not that we have a gasoline shortage. We have a supply crunch.” Still, the coming days "will be challenging," she said, and she asked people not to hoard gasoline — amid indications that some people are doing exactly that. Granholm said she has also briefed the governors of North Carolina and Virginia, both of whom have declared states of emergency to allow their own agencies to waive regulations that could hamper fuel shipments. Colonial Pipeline, the main fuel conduit from Houston's oil refineries to the East Coast, resumed some shipments on Monday and will decide on Wednesday when it will begin a full restart of the 5,500-mile line, Granholm said. But people in some of the states "still may feel a supply crunch as Colonial fully resumes," she warned.

Conservatives seize on gas crunch to blame Biden, stir base - A graphic calling the East Coast fuel supply crunch “Biden’s Gas Crisis.” A tweet speculating that gas stations running dry was an “INSIDE JOB.” A meme depicting the president and vice president cheering about the “Green New Deal” in front of a snaking line at a fuel station.These and thousands of other social media posts along with conservative websites and commentators this week misleadingly painted President Joe Biden and his administration as catalysts of chaos — who not only mishandled the temporary shutdown of the nation’s largest fuel pipeline on Friday — but engineered it.In reality, a ransom-seeking cyberattack, not a Biden executive order or energy policy, triggered the shutdown that drove residents of states such as North Carolina to panic-buy so much gas that nearly 70% of service stations in the state remained without fuel on Thursday afternoon.Still, some of the most widely shared tweets discussing the gas crunch between Friday and Wednesday lobbed criticism toward the president, according to the media intelligence firm Zignal Labs. Posts surfaced by Zignal blamed the president for the outages, criticized his response and condemned him for canceling plans for the Keystone XL oil pipeline — though that project, which would have built a crude oil pipeline, would have had no impact on the current situation.Misleading narratives targeting Biden began picking up speed on Monday, the day North Carolina Gov. Roy Cooper became the first of several governors to declare a state of emergency over the disruption.“Wouldn’t it be weird if the CYBER-ATTACK that shutdown the United States’ top fuel line was an INSIDE JOB to pretend Joe Biden isn’t responsible for the insane increase in gas price..” read a widely shared tweet by former Florida congressional candidate Chuck Callesto.“People can’t complain about gas prices if there’s no gas to buy,” read the caption of an image depicting a sinister Biden with his fingers interlaced, retweeted by U.S. Rep. Lauren Boebert, a Republican from Colorado.Other posts claimed the long gas lines across the Southeast U.S. were a harbinger of America’s future under Democrats, casting Biden as a socialist in a strategy that Republicans have frequently turned to in recent years.“Gas shortages now, food shortages tomorrow?” tweeted Fox Nation host Tomi Lahren. “Wow ... starting to feel like socialism is on the way....” Sean Hannity on Tuesday first broadcast the graphic of Biden smiling with the words “Biden’s Gas Crisis,” a term that later gained momentum on Facebook and Twitter.

Antony Blinken Continues To Lecture The World on Values His Administration Aggressively Violates – Glenn Greenwald -  Continuing his world tour doling out righteous lectures to the world, U.S. Secretary of State Antony Blinken on Thursday proclaimed — in a sermon you have to hear to believe — that few things are more sacred in a democracy than “independent journalism.” Speaking to Radio Free Europe, Blinken paid homage to "World Press Freedom Day”; claimed that “the United States stands strongly with independent journalism”; explained that "the foundation of any democratic system” entails "holding leaders accountable” and “informing citizens"; and warned that “countries that deny freedom of the press are countries that don't have a lot of confidence in themselves or in their systems.”The rhetorical cherry on top of that cake came when he posed this question: "What is to be afraid of in informing the people and holding leaders accountable?” The Secretary of State then issued this vow: “Everywhere journalism and freedom of the press is challenged, we will stand with journalists and with that freedom.” Since I know that I would be extremely skeptical if someone told me that those words had just come out Blinken's mouth, I present you here with the unedited one-minute-fifty-two-second video clip of him saying exactly this:That the Biden administration is such a stalwart believer in the sanctity of independent journalism and is devoted to defending it wherever it is threatened would come as a great surprise to many, many people. Among them would be Julian Assange, the founder of WikiLeaks and the person responsible for breaking more major stories about the actions of top U.S. officials than virtually all U.S. journalists employed in the corporate press combined.Currently, Assange is sitting in a cell in the British high-security Belmarsh prison because the Biden administration is not only trying to extradite him to stand trial on espionage charges for having published documents embarrassing to the U.S. Government and the Democratic Party but also has appealed a British judge's January ruling rejecting that extradition request. The Biden administration is doing all of this, noted The New York Times, despite the fact that “human rights and civil liberties groups had asked the [administration] to abandon the effort to prosecute Mr. Assange, arguing that the case . . . could establish a precedent posing a grave threat to press freedoms” — press freedoms, exactly the value which Blinken just righteously spent the week celebrating and vowing to uphold.

House conservatives take aim at Schumer-led bipartisan China bill --House conservatives take aim at Schumer-led bipartisan China bill -- House conservatives are criticizing a bipartisan bill authored by Senate Majority Leader Charles Schumer The Hill's Morning Report - Presented by Emergent BioSolutions - Upbeat jobs data, relaxed COVID-19 restrictions offer rosier US picture MORE (D-N.Y.), saying it does too little to protect American interests from Chinese threats. The conservative Republican Study Committee, which has 154 members and is the largest GOP caucus in Congress, said the bill is too expensive in an internal memo obtained by The Hill. It also said the bill should take tougher actions against China for stealing intellectual property rights and for industrial espionage. The memo criticizes the Endless Frontier Act, a $100 billion bipartisan bill proposal aimed at reinvigorating the National Science Foundation to compete with China. The Endless Frontier Act is co-sponsored by Sen. Todd Young (R-Ind.). Other Republicans who have signed on as co-sponsors include Sens. Roy Blunt (Missouri), Susan Collins (Maine), Steve Daines (Mont.), Lindsey Graham (S.C.), Rob Portman (Ohio) and Mitt Romney (Utah). Six Democrats have also signed on as co-sponsors. The legislation would provide $100 billion over five years to the National Science Foundation for research, development and manufacturing of critical technology. It is scheduled to be marked up in the Senate Commerce, Science and Transportation Committee on Wednesday, paving the way for a possible vote in the Senate.

Blinken speaks with Israeli counterpart amid escalating conflict - Secretary of State Antony Blinken spoke with his Israeli counterpart Tuesday amid an escalating conflict between Israel and militants in the Gaza Strip. The State Department said in a readout of the call with Israeli Foreign Minister Gabi Ashkenazi that Blinken “expressed his concerns regarding rocket attacks on Israel and his condolences for the lives lost as a result.” “The Secretary and the Foreign Minister also discussed the violence in Jerusalem, in particular on the Haram al-Sharif/Temple Mount and in Sheikh Jarrah. The Secretary reiterated his call on all parties to deescalate tensions and bring a halt to the violence, which has claimed the lives of Israeli and Palestinian civilians, including children. The Secretary emphasized the need for Israelis and Palestinians to be able to live in safety and security, as well as enjoy equal measures of freedom, security, prosperity, and democracy,” the readout continued. The conversation between Blinken and Ashkenazi is the first time the two diplomats have spoken since the violence escalated. They had last talked in April. The call followed a similar one between U.S. national security adviser Jake Sullivan and his Israeli counterpart, Meir Ben-Shabbat, which marked the second time the two have spoken in two days. The calls come amid spiking tensions between Israel and Hamas, which controls the Gaza Strip, following clashes between Israeli police and Palestinians in east Jerusalem. Tensions began to bubble over earlier this month during the waning days of Ramadan over Palestinians’ access to the Al-Aqsa Mosque and efforts by Israeli settlers to evict families in the Sheikh Jarrah neighborhood. Militants in the Gaza Strip began launching rockets as the clashes reached a boiling point, with Israel launching retaliatory airstrikes on the enclave. Two dozen Palestinians, including several children, and two Israelis were reported dead as of Tuesday afternoon.

Biden Confers With Netanyahu as Israeli-Palestinian Crisis Broadens - The New York Times - President Biden said that he had spoken with Prime Minister Benjamin Netanyahu of Israel “for a while” on Wednesday amid escalating fighting between Israelis and Palestinians, and asserted his “unwavering support” for Israel’s “right to defend itself.” “My hope is that we will see this coming to a conclusion sooner than later,” Mr. Biden said in response to questions from reporters. According to a readout of the call released by the White House, Mr. Biden “condemned” the rocket attacks on Israel and added that the United States’ position is that Jerusalem be “a place of peace.” Mr. Biden also said that his administration’s national security and defense officials had been and would stay “in constant contact” with their counterparts in the Middle East. The White House added that during the phone call Mr. Biden had updated Mr. Netanyahu on the United States’ diplomatic engagement with Palestinian officials and other nations in the Middle East. The call between the two leaders came on the same day that Secretary of State Antony J. Blinken spoke over the phone with Mr. Netanyahu. Defense Secretary Lloyd J. Austin III on Wednesday offered “ironclad support” for Israel’s self-defense in a phone conversation with Benny Gantz, Israel’s defense minister.

Prominent Muslim group to boycott White House Eid celebration over stance on Israel-Gaza violence  --The Council on American-Islamic Relations (CAIR), a prominent American Muslim organization, announced Saturday it will boycott the White House’s annual Eid celebration over the Biden administration’s stance on Israel amid spiking violence in the Gaza Strip. CAIR said it was joining with other groups in the boycott over the White House’s “incredibly disappointing and deeply disturbing” response to the violence. “We cannot in good conscience celebrate Eid with the Biden Administration while it literally aids, abets and justifies the Israeli apartheid government's indiscriminate bombing of innocent men, women and children in Gaza. President Biden has the political power and moral authority to stop these injustices. We urge him to stand on the side of the victims and not the victimizer,” said CAIR National Executive Director Nihad Awad. “If the White House continues along this morally-unconscionable path as more Palestinian children die, the White House risks causing severe damage to President Biden’s relationship with American Muslims and all others who defend civil and human rights,” Awad added. The White House did not immediately respond to a request for comment from The Hill. The administration celebrated Eid and attempted to promote peace for both Israelis and Palestinians, recognizing the conflict in a statement celebrating the holiday Friday. “Jill and I are looking forward to the White House’s commemoration of Eid this Sunday. We were heartened to see Eid celebrations around the world, but we know that this year, the situation in the Holy Land is weighing heavily on Muslims everywhere, including our Muslim communities here in the United States,” Biden said in a statement. “Palestinians—including in Gaza—and Israelis equally deserve to live in dignity, safety and security. No family should have to fear for their safety within their own home or place of worship. We think most about the children in these societies who face trauma from a conflict far beyond their control. My administration will continue to engage Palestinians, Israelis, and other regional partners to work towards a sustainable calm,” Biden added.  

Israel’s war crimes and the hypocrisy of “human rights” imperialism - US Secretary of State Antony Blinken’s appearance Wednesday at a State Department press conference provided an object lesson in the absolute cynicism of the “human rights” imperialism with which he is identified. Blinken used the event, which was ostensibly called to present a report on “international religious freedom,” to denounce China for committing “crimes against humanity and genocide against Muslim Uyghurs.” He was echoed by the State Department’s point man on “religious freedom,” Daniel Nadel, who declared, “[I]t is absolutely clear what horrors are taking place in Xinjiang, being perpetrated by the PRC Government. And we will continue to speak out because we must.” These two representatives of US imperialism spoke as airstrikes in Gaza were claiming scores of victims, including 17 children, while terrorizing the entire population of the impoverished occupied territory by toppling high-rise buildings with missiles. Within Israel itself, the corrupt and unstable right-wing government of Prime Minister Benjamin Netanyahu is unleashing the kind of repression previously reserved for the occupied territories of Gaza and the West Bank against an unprecedented revolt by Palestinian Israeli citizens. Several hundred protesters have been injured by riot police and mounted units. The government is sending border troops and possibly even regular army units to suppress internal resistance, while Netanyahu said Thursday he is prepared to institute “administrative detention” against “rioters,” allowing for indefinite imprisonment without charges or trials. No one at the State Department is particularly troubled by or compelled to “speak out” against these war crimes and “horrors.” On the contrary, Blinken and other US spokesmen endlessly mouth the mantra that “Israel has the right to defend itself,” while insisting that there can be no comparison between the Zionist state’s “targeting the terrorists” and the “terrorist” Hamas “indiscriminately raining down rockets” on Israel. President Joe Biden declared on Thursday that “there has not been a significant over-reaction” on Israel’s part, providing an unmistakable green light for the escalation of the slaughter of Palestinians and an assurance that the flow of US money and arms that makes it possible will continue uninterrupted. Indeed, there is no comparison between the primitive Gaza rockets and the high-tech killing machine of the Israel Defense Forces. As in virtually every such confrontation over the past 15 years, the deaths of Palestinians in Gaza outnumber those of Israelis by more than 10 to one. Once again, basic infrastructure in what has justifiably been described as the world’s largest open-air prison is being smashed to pieces, condemning the population to even deeper poverty.

Democratic Party leaders urge Biden to rejoin Iran deal, lift Trump's 'bad-faith sanctions' - Dozens of Democrats around the country are offering President Biden “strong support” for rejoining the Iran nuclear deal. In a letter to Biden sent Monday, 53 state Democratic Party leaders and Democratic National Committee members applauded the administration for entering into indirect talks with Iran to revive the Joint Comprehensive Plan of Action (JCPOA) and urged him to lift “bad-faith sanctions" imposed by former President Trump. “Lifting Trump’s bad-faith sanctions - which he explicitly imposed on Iran in order to make a return to the JCPOA next-to-impossible - should not be treated as a concession to Iran, but rather as an effort to restore U.S. credibility and enhance American security,” they wrote in the letter, a draft of which was obtained by The Hill before its release. “We urge you not to cave to pressure from proponents of Trump’s failed approach to Iran,” they continued. “We have seen the net effect of that policy: A larger Iranian nuclear program and a greater risk of war with Iran.” The letter was organized by the Quincy Institute for Responsible Statecraft, an anti-interventionist think tank. Among the notable signatories on the letter are Rep. Barbara Lee (D-Calif.), Minnesota Attorney General Keith Ellison (D) and Democratic Ohio congressional candidate Nina Turner. "Rejoining the Iran nuclear deal and lifting Trump's bad-faith sanctions is not only supported by rank-and-file Democrats in red, purple, and blue states, but also by our Democratic Party leaders from all across the country," Yasmine Taeb, a progressive strategist and an organizer of the letter for the Quincy Institute, said in a statement. "President Biden pledged to chart a new course and called for a foreign policy for the middle class that will end forever wars and focus on the immediate domestic crises and that begins by rejoining the 2015 nuclear deal and rejecting Trump's failed approach on Iran."

Let Someone Else Worry About Central Asia | The American Conservative --America is leaving Afghanistan after two decades. Washington is in an uproar. The bipartisan War Party is shocked and appalled. It worries that Al Qaeda will soon be conquering American cities. And the whole world will be at risk. A new Dark Age will threaten globally. All because President Joe Biden doesn’t want to spend decades more at war in Central Asia.It is not just neoconservatives and their credulous progressive allies who believe that every war should be permanent. So, too, the obedient media. The Washington Post is the company newsletter for the Washington, D.C., establishment. Its foreign policy stance is essentially “the more wars—and, especially, the longer the wars—the better.”The Post naturally expressed horror at the possibility that Americans would no longer be fighting in what is colloquially known as Pashtunistan. Complained the paper, the president “has chosen the easy way out of Afghanistan, but the consequences are likely to be ugly.” Only a charter member of the War Party, which expects other people to do the fighting, could believe that endless war is better than dropping a conflict so distant from the interests of the American people.  Last week we were warned that Central Asia is at risk at the very moment the U.S. is leaving Afghanistan. The New York Times ran a story headlined: “Central Asian Border Dispute Casts Shadow Over U.S. Afghan Departure.”Afghanistan wasn’t involved, but no matter. Reported the Times: “Fighting broke out on Thursday between Kyrgyzstan and Tajikistan over control of an irrigation canal and an access road to an ethnic enclave, raising the specter of instability in Central Asia as the United States prepares to withdraw from Afghanistan.” Although tragic, how does the Tajik-Kyrgyz imbroglio affect America? The Times was almost breathless in warning: “Though the area is far from the Afghan border and main routes out of Afghanistan, the hostilities come at a delicate time for the United States. In the early stages of the Afghan war, the United States opened two bases in Central Asia to move troops into Afghanistan, and transported everything from fuel to food on an overland route through the region and into the war zone. Central Asia today provides an alternative to Pakistan as an overland route for moving equipment out of Afghanistan as the Biden administration has vowed a complete withdrawal by September.” Yet Biden is about to put this all into the past. Departing will leave the U.S. less vulnerable to the vagaries of geopolitics thousands of miles away. Nothing that happens there will have much impact on America. The region, dominated by oppressive states that spent their histories as part of the Russian Empire and Soviet Union, never had much contact with the U.S. and never was of much commercial, cultural, or political importance to America.

 India's BJP-Linked Hindu Group Brings Dalit Slavery to America - A Hindu sect with close ties to India’s ruling BJP has exploited hundreds of low-caste men in a years-long construction project, reports the New York Times. A US federal lawsuit filed against the Hindu group alleges that the men brought to the United States under religious R-1 visa had their Indian passports confiscated by the Hindu group. It further alleges that the workers, mainly Dalit men who worked 13-hour days doing heavy lifting for about $1 an hour, were kept as prisoners at the construction site of a massive Hindu temple in Robbinsville, New Jersey.  Cases of caste discrimination and exploitation among India diaspora have also surfaced in Silicon Valley.  Shocking as it is, the New Jersey case of exploitation of Indian Dalit workers brought to America is not unique.  Over two-thirds of low caste Indian-Americans are discriminated against by upper caste Indian-Americans in Silicon Valley, according to a report by Equality Labs, an organization of Dalits in America. Dalits also report hearing derogatory comments about Muslim job applicants at tech companies. These revelations have recently surfaced in a California state lawsuit against Silicon Valley tech giant Cisco Systems.Both caste and religious discrimination are rampant among Indian-Americans in Silicon Valley. Back in 2009,  there was a religious discrimination lawsuit filed  against Vigai, a South Indian restaurant in Silicon Valley. In the lawsuit filed in Santa Clara County Superior Court, Abdul Rahuman, 44, and Nowsath Malik Shaw, 39, both of San Jose, alleged they were harassed for being Muslim by Vaigai's two owners, a manager and a top chef — a violation of the Fair Employment and Housing Act, according to a report in the San Jose Mercury News.

The Biden administration moved more than $2 billion earmarked for COVID measures to deal with the influx of migrants at the border - The Biden administration is funneling more than $2 billion toward the care of migrant children by and along the southern border, Politico reported.That money had originally been earmarked to go toward various measures to fight the coronavirus pandemic, according to Politico.The Department of Health and Human Services said $850 million will come from funds originally intended to expand testing for COVID-19, Politico reported.Another $850 million will be taken out of a fund set aside to help the country rebuild its emergency stockpile of medical items like masks, respirators, and gloves. The Strategic National Stockpile is meant to support the country as it deals with an emergency, but the pandemic has basically emptied it. Another $436 million coming from various health initiatives will also be diverted to support children at the border, according to Politico.At the US-Mexico border, there's been an influx of migrants seeking entrance to the US and fleeing unfavorable or difficult conditions in their home countries.In response to the surge, the Biden administration opened several temporary federal shelters, and as of early May, Us officials are holding about 22,500 unaccompanied children. There's concern that officials have struggled to adequately care for these migrant children. There are reports, for example, that say migrant children are not receiving enough food or appropriate mental health care.

Revealed: Big Pharma’s Plot to Derail US Covid-19 Vaccine Waiver -  -- While global health advocates applauded the Biden administration’s recent decision to support waiving intellectual property protections for Covid-19 vaccines as “critical,” “transformative,” and“unquestionably the right thing to do,” Big Pharma took a decidedly less optimistic view of the move and has been hard at work behind the scenes in a bid to thwart the policy, a reportpublished Friday by The Intercept revealed.In a bid to stymie U.S. support for a proposal by India and South Africa to enact a Trade-Related Aspects of Intellectual Property Rights (TRIPS) waiver at the World Trade Organization (WTO), the pharmaceutical industry is “distributing talking points, organizing opposition, and even collecting congressional signatures in an attempt to reverse President Joe Biden’s support for worldwide access to generic Covid-19 vaccines,” according to The Intercept’s Lee Fang.Fang obtained an email from Jared Michaud, a lobbyist with the Pharmaceutical Research and Manufacturers of America (PhRMA)—a trade group whose clients include vaccine developers AstraZeneca, Johnson & Johnson, and Pfizer—describing how Big Pharma and sympathetic U.S. legislators are pushing lawmakers to oppose a TRIPS waiver.The email explains that Reps. Buddy Carter (R-Ga.) and Vern Buchanan (R-Fla.) are leading an unreleased letter to Biden—which currently has 29 co-signers—”expressing concerns with the administration’s support for waiving IP protections related to Covid-19 vaccines under the WTO TRIPS waiver.”“We urge you to contact offices and ask them to sign onto this letter,” said Michaud’s email.The letter additionally claims that the TRIPS waiver would cost U.S. jobs and be a boon for China, which would “profit from our innovation.”Michaud’s email contains talking points that paint the IP waiver as a national security threat that would “irreversibly damage American innovators” and the U.S. government’s “strategic engagement,” while a separate document marked “confidential” claims that “waiving intellectual property will undermine the global response to the pandemic and compromise vaccine safety.”According to Fang, “The metadata for the document shows that the PDF document was created by Megan Van Etten, an international public affairs specialist for PhRMA.” Fang notes that PhRMA spent $24 million on lobbying at the federal level last year “and is one of the biggest corporate players in election spending.”According to OpenSecrets, PhRMA has spent $8.7 million on lobbying so far this year. This, as client Pfizer has raked in $3.5 billion in profits from the sale of its Covid-19 vaccine in just the first three months of 2021.

Senate panel deadlocks in vote on sweeping elections bill  - A key Senate panel deadlocked Tuesday on sweeping Democratic legislation to overhaul elections after an hours-long, often heated debate. The Senate Rules Committee evenly split 9-9 on the For the People Act, the top legislative priority for Democrats heading into the 2022 election. Though the tie means Democrats aren't able to formally advance the bill to the floor, that won't stop the party from moving forward with it. Democrats have multiple options for how to ultimately bring the election reform bill up for a vote in the Senate, something Majority Leader Charles Schumer (D-N.Y.) has vowed to do. "With respect and some earnest debate, I think a lot of people have learned things today. I hope that will guide as we go forward. ... We must get this bill passed," Sen. Amy Klobuchar (D-Minn.), the chairwoman of the panel, said shortly before the vote. "This is not the last you will hear. ... This is the beginning," Klobuchar added. Tuesday is the first time a Senate panel has marked up the bill, after it went nowhere in the GOP-controlled Senate. Senate Democrats will meet on Thursday to discuss their strategy on the bill, which is expected to come to the floor by August. Even as Democrats have seized on the bill, it faces a complicated path to making it to President Biden’s desk. With unified GOP opposition, it doesn’t have the support needed to defeat a 60-vote legislative filibuster. And it doesn’t unify Democrats, with Sen. Joe Manchin (D-W.Va.) suggesting his party should focus more narrowly on voting rights. But Tuesday’s debate — just a preview of the fireworks if Schumer brings the bill to the floor — forced long-simmering frustrations over the wide-ranging bill to boil over in a public setting, as Republicans fought back against virtually every aspect of the bill. There were moments of levity, but that only underscored how much senators were ramping up the drama for much of the hearing. “We don't have very many lengthy or spirited markups in this committee. They happen from time to time. It actually appears the cycle is very close to the appearance of the cicada,” joked Sen. Roy Blunt (R-Mo.), the former chairman and now the top Republican on the panel. If the For the People Act is the top legislative goal for Democratic leaders, Republicans see their top priority as sinking it. They pulled out all the stops Tuesday to try to prevent what they view as an attempted “takeover” of elections. Schumer and Senate Minority Leader Mitch McConnell (R-Ky.), who are both members of the committee, made rare appearances at Tuesday’s hearing to trade jabs. Schumer tied GOP opposition to the bill to separate efforts by Republicans in state legislatures across the country to place new restrictions on voting. An analysis by the Brennan Center for Justice found that as of March 24, legislatures have introduced 361 bills with “restrictive provisions” in 47 states.

  Republicans oust Liz Cheney from House leadership - On Wednesday morning, Republicans in the House of Representatives ousted Congresswoman Liz Cheney of Wyoming from party leadership because she continues to oppose the false claim that the Democrats stole the 2020 election from incumbent candidate Donald Trump. In a voice vote during a 20-minute closed-door meeting of the Republican caucus, a majority of the GOP representatives stripped Cheney of her role as conference chair, the number-three party position in the House. An extreme right-wing political figure throughout her career, Cheney’s removal is a demonstration of the increasingly fascistic evolution of the Republican Party. Cheney was one of just 10 of 221 Republicans in the House who voted for the impeachment of then-President Trump on January 13, just one week after the fascist assault on the US Capitol in an attempt to stop congressional certification of the election results. On Tuesday evening, Cheney spoke from the floor of Congress and condemned those in the Republican Party who refuse to oppose the efforts of Trump to discredit the 2020 election results. She said, “Today we face a threat America has never seen before: a former president, who provoked a violent attack on this Capitol, in an effort to steal the election, has resumed his aggressive effort to convince Americans that the election was stolen from him. He risks inciting further violence.” Continuing to speak after all but one Republican had walked out of the chamber, Cheney said that those who refuse to accept that the election is over and refuse to state that President Joe Biden’s victory was legitimate “are at war with the Constitution.” “Remaining silent, and ignoring the lie, emboldens the liar,” she said. “I will not participate in that. I will not sit back and watch in silence while others lead our party down a path that abandons the rule of law and joins the former president’s crusade to undermine our democracy.” After the vote on Wednesday morning, Cheney warned that Trump’s lies that Joe Biden stole the presidency through widespread election fraud was provoking violence and destabilizing American democracy. She said, ”I will do everything I can to ensure that the former president never again gets anywhere near the Oval Office.” Although House Minority Leader Kevin McCarthy said on Wednesday that the removal of Cheney was about “simply who’s best at delivering the message, that’s all,” the plan to remove her as an obstacle to the consolidation of the Republican Party around Donald Trump had been known for weeks. A leading candidate to replace Cheney as conference chair, Congresswoman Elise Stefanik of New York, has been auditioning for the position with non-stop statements of loyalty to Trump and charges of election fraud such as “in many cases, there was no signature verification process,” for more than a week.   However, Stefanik faces opposition due to the fact that her policy history has not been right wing enough.

Fascist Republican Rep. Marjorie Taylor Greene threatens Alexandria Ocasio-Cortez - Two reporters for the Washington Post witnessed Georgia Representative Marjorie Taylor Greene, a fascist acolyte of former President Donald Trump, accosting New York Democratic Representative Alexandria Ocasio-Cortez outside the House of Representatives late Wednesday afternoon. Greene called out to Ocasio-Cortez, who tried to ignore her, and then began denouncing her as a supporter of terrorism, for her support of Black Lives Matter, and claiming falsely she was linked to “antifa,” the loose grouping of anti-fascist activists that has assumed monumental proportions in right-wing mythology. The charge of supporting “terrorism” amounts to a death threat, reinforced by the fact that Greene waged her 2020 congressional campaign using commercials showing her armed with an assault rifle and threatening AOC and two other “left” Democratic congresswomen, Ilhan Omar and Rashida Tlaib. Greene has also previously “liked” comments on Facebook supporting the assassination of Democratic Party politicians, shared and promoted QAnon and anti-Semitic conspiracy theories, and continues to back Trump’s false claims that the 2020 election was stolen. The Post reported that the altercation began with Greene shouting “Hey Alexandria” twice. After Ocasio-Cortez did not respond, Greene quickened her pace and began to berate Ocasio-Cortez, inquiring about her alleged support of antifa and Black Lives Matter while accusing the Democratic Socialists of America (DSA) member of failing to defend her “radical socialist” perspective by agreeing to a debate with Greene. “You don’t care about the American people,” Greene yelled, the Post reported. “Why do you support terrorists and antifa?” The Post reported that Ocasio-Cortez did not stop to respond to Greene, writing that she only turned, “around once” and threw her “hands in the air in an exasperated motion.” After Ocasio-Cortez walked away, Greene turned to a small group of reporters and called Ocasio-Cortez a “coward” and “pathetic.”

Students for Trump co-founder gets over a year in prison for posing as lawyer ---  John Lambert, one of the co-founders behind Students for Trump, has been sentenced to more than a year behind bars for masquerading as a lawyer. According to the New York Daily News, the 25-year-old was handed a 13-month prison sentence after posing as a lawyer named Eric Pope, who is based in Manhattan. Lambert reportedly lied about graduating from New York University Law School and the University of Pennsylvania, where he claimed to have received a degree in finance, as well as having more than a decade of experience working in law. Over the course of several years, he also managed to get actual clients searching for legal advice through Upwork. Between 2016 and 2018, he allegedly raked in more than $46,000 with the scheme. In court, Lambert's attorney Gary Peters claimed he had been inspired by the fictional television show “Suits,” according to the Daily News. The argument drew pushback from Judge Valerie Caproni, who handed down the prison sentence to Lambert, saying: “You cannot foist this off on being led astray by your co-defendant.” The judge also reportedly pointed to Lambert’s actions after he helped co-found Students for Trump years back, which included speaking publicly to the media on multiple occasions. “Those are actions of a leader, not a follower,” Caproni said describing Lambert as “a cold-blooded fraudster who cared not a whit about the victims of his fraud.”

Senate advances measure to reverse OCC's 'true lender' rule— The Senate has voted in favor of overturning a rule issued by the Office of the Comptroller of the Currency that makes it easier for national banks to sell loans to third parties. A Congressional Review Act resolution to reverse the OCC’s “true lender” rule passed 52-47 on the Senate floor Tuesday. The rule, finalized in October, allows nonbanks to purchase loans from national banks and still enjoy the interest rate flexibility that federal law affords those banks. A national bank is considered a “true lender” under the rule if it is named in a loan agreement or funds a loan. A companion measure to reverse the OCC's rule has been introduced in the House. The rule was largely backed by the banking industry, which has argued that the policy provides necessary regulatory clarity for banks that lend across state lines. But consumer advocates have warned that it would enable nonbanks to engage in "rent-a-bank" schemes to evade state usury laws and overcharge customers. Senate Majority Leader Chuck Schumer, D-New York, said the rule undermines state laws aimed at cracking down on predatory lending. "More than 40 states have passed laws that prohibit this behavior and place limits on interest rates made by nonbanking lenders — these states run the gamut from liberal California to conservative Texas," Schumer said. "Inexplicably, the Trump administration decided to give these predatory lenders a massive loophole to circumvent state law and once again prey on low-income Americans." Sen. Pat Toomey of Pennsylvania, the top Republican on the Senate Banking Committee, warned that overturning the rule would restrict access to credit for consumers. “Overturning the true lender [rule] … would reduce access to credit for consumers, especially those who need it most, stifle innovation and inhibit the functioning of our nation’s banks and credit markets,” Toomey said on the floor Tuesday. “Community and midsized banks — who lack resources to develop banking technology in-house — are partnering with fintechs to compete more effectively. These partnerships benefit consumers. By increasing competition in lending markets, they lower the price of financial products, improve credit options and expand consumer choice.” Ahead of the vote, the Biden administration issued a statement backing the effort to overturn the OCC’s rule, arguing that the policy “undermines state consumer protection laws and would allow the proliferation of predatory lending by unregulated payday lenders.”

What's the fate of bank-nonbank partnerships after 'true lender' vote? - — The Senate's rejection of a Trump-era rule making it easier for banks to sell loans to third parties spells considerable uncertainty for fintech firms, even as the Biden administration likely prepares to remake the standard. The chamber's passage of a Congressional Review Act resolution striking down the Office of the Comptroller of the Currency's "true lender" regulation all but guarantees the rule's demise. The resolution now moves to the Democrat-controlled House, where it is expected to pass. The Senate's vote late Tuesday was hailed by some as a victory for states’ rights and consumer protection. The rule designates national banks as the "true lender" when they sell loans to nonbanks, even if the parties are in different states. Critics charged it allows predatory lenders to evade their state interest caps and disadvantages state-chartered banks. But some analysts say blocking the rule will put the OCC and the industry in a tough position as banks seek legal clarity about engaging in loan transactions with tech savvy nonbanks. “I think it means continued uncertainty that will resonate particularly for bank partnerships with fintech companies,” said Karen Solomon, an attorney at Covington and former general counsel of the OCC. The OCC’s rule introduced a simple test to determine when a bank is the “true lender” in a fintech partnership, focusing on whether the bank is named the originator in a loan agreement and whether the bank funds the loan. When a bank is named the “true lender” in a fintech partnership, it is responsible for ensuring a loan’s compliance with federal law, and state interest rate caps generally do not apply. Consumer groups have blasted the rule, saying such a measure would make it far too easy for predatory lenders to operate in states across the U.S. sThe secondary loan market is increasingly made up of fintech firms with state licenses attempting to operate on a national scale. Bankers believed they were on solid ground selling debts to such firms across state lines until a 2015 court decision in Madden v. Midland Funding suggested such deals are subject to state usury caps. Regulators have attempted to provide legal clarity to market, first with rules certifying that loans are "valid when made" by a bank, and then with the OCC's true lender rule.Some observers worry that the Congressional Review Act measure will make it hard for the OCC to rewrite the rule in a way that provides stronger consumer protections. Under the law, once a rule is invalidated by Congress, the resolution prohibits regulators from issuing any future rule found to be “substantially the same” as what was struck down.

 Federal Reserve solicits comments on debit routing update --To make clear that debit card issuers should allow merchants a choice for routing card-not-present debit payments, the Federal Reserve is seeking public comment on proposed changes to Regulation II. The regulation allows the government to cap interchange fees on debit transactions for larger issuers, as well as to allow merchants to reduce costs by offering the choice of an independent debit network at the point of sale. In announcing the public comment period, the Fed emphasized that this choice isn't as widely available for card-not-present transactions. This lack of support eliminates "the ability of merchants to choose between competing networks when routing such transactions, an issue that has become increasingly pronounced because of continued growth in online transactions, particularly in the COVID-19 environment," the Fed said in its announcement Friday. The proposed revisions would state that card-not-present transactions are a "particular type of transaction" for which two unaffiliated payment card networks must be available, the central bank said. Additionally, the proposed revisions would clarify the responsibility of the debit card issuer. The issue was brought to forefront when Federal Reserve Board Chairman Jerome Powell responded late last year to a letter from Democratic leaders requesting that enforcement actions be taken against the card brands not complying with the law, initially established in 2010. Powell indicated that the Fed would be looking into the debit situation. The Federal Trade Commission had also brought attention to the matter by probing Visa and Mastercard's debit transaction routing process. Various merchant groups have not only pushed for lower interchange rates and thus supported the enactment of Reg II, they have also seen the need for tighter enforcement on the routing issue for online transactions.

  FDIC seeks feedback on banks' crypto plans — The Federal Deposit Insurance Corp. will soon seek details from regulated entities about their use of digital assets, Chairman Jelena McWilliams said Tuesday in a speech calling on U.S. regulators to encourage financial innovation. As the Biden administration and the Federal Reserve have signaled an interest in exploring a potential U.S. digital currency, McWilliams said the FDIC is planning to issue a request for information focused on how banks are investing in and deploying digital assets. “One topic that some banks have begun to look at is digital assets,” McWilliams said at a virtual event hosted by the Federalist Society. “At the FDIC, we have been watching such developments closely and we plan to issue request for information to learn more about what banks are doing, what banks are considering doing and what, if anything, the FDIC should be doing in this space.” While McWilliams’s comments were vague about the timing and details of the request for information, she said that regulators should work to minimize regulatory costs when creating new rules for digital currencies and other emerging technologies. “It has been my goal as chairman that the FDIC lay the foundation for the next chapter of banking, by encouraging innovation that meets consumer demand, promotes community banking, reduces compliance burdens and modernizes our supervision while increasing the number of banked Americans,” McWilliams said. Her comments come as new cryptocurrency firms have sought state charters in Wyoming and won national trust charter approvals through the Office of the Comptroller of the Currency. McWilliams warned that the American financial system will not be able to keep up with global counterparts if regulators are avoid taking risks. “Our banks have to innovate to survive,” she said. “And though agencies historically have tended to be risk averse, we must learn how to manage the risk coming from innovation and new technologies, because if we do not allow entrepreneurship to flourish in the United States, it will flourish elsewhere.”

 Big banks on defense after Fed sides with retailers on debit swipe fees - For nearly a decade, the Federal Reserve avoided choosing sides in the protracted, high-stakes dispute between banks and retailers over debit card fees. But after the Fed last week embraced one of the main arguments made by merchants, many observers believe that more bad news is coming for large and midsize banks. The Fed is required by law to cap the interchange fees that banks with more than $10 billion in assets can collect when consumers use their debit cards at retailers. Since 2011, the limit has been set at 21 cents, plus 0.05% of the transaction. The central bank has long ignored pleas from both sectors to make changes. But now, in light of a decadelong decline in the banks’ processing costs, the Fed faces growing pressure to lower the price ceiling. “I don’t think the Fed can do anything other than lower the interchange cap. That’s the mandate in the regulation — the interchange rate has to be representative of the costs associated with debit transactions, and costs have certainly come down,” said Sarah Grotta, a debit payments expert at Mercator Advisory Group. Between 2009 and 2019, the cost of processing debit card transactions at banks with more than $10 billion of assets fell by nearly 50%, according to the Fed. The average cost, excluding fraud losses, fell from about 7.7 cents to 3.9 cents, the central bank said in a report issued Friday. The same day, the Fed proposed a new rule that would resolve a related issue in a manner that is favorable by retailers. Under the proposal, banks that issue debit cards would be required to offer merchants the choice of at least two unaffiliated networks over which to route e-commerce transactions. Merchants have long had such a choice on transactions where shoppers swipe their debit cards in physical stores. But banks have been much more spotty about providing routing options for online purchases, which retailers contend has raised their costs.

Podcast Regulators want to stress-test banks for climate risks. Can it work? - Below is a lightly edited transcript of the podcast: - 21 Min Read

 Bankers urge policymakers to crack down on credit union-bank mergers — Industry trade groups are calling on regulators and lawmakers to crack down on credit union purchases of banks after the largest-ever such deal was announced in March. The Independent Community Bankers of America and the Community Bankers Association of Georgia urged the Federal Deposit Insurance Corp. in a letter dated May 15 to reject the deal that the $1.6 billion-asset Heritage State Bank in Jonesboro, Georgia, struck to be sold to the $10 billion-asset Vystar Credit Union based in Jacksonville, Florida. Separately, American Bankers Association President and CEO Rob Nichols described Vystar’s planned purchase of Heritage part of a “disturbing trend” that Congress needs to address, ahead of a virtual House Financial Services Committee hearing titled “Oversight of Prudential Regulators” scheduled for May 19. Community bankers say they are concerned that Vystar’s purchase of Heritage will lead to a decrease in Community Reinvestment Act lending. Unlike banks, credit unions are not required to comply with the federal CRA law. “We believe this acquisition will lead to a substantial decrease in the CRA-qualifying loans and investments that benefit low- and moderate-income customers in Heritage Southeast’s assessment areas,” wrote Mickey Marshall, director of regulatory legal affairs at the ICBA, and John McNair, president and CEO of the Community Bankers Association of Georgia. “Additionally, we believe that this merger will result in branch consolidation and limited access to financial services" for low- and moderate-income households. Nichols said that credit union purchases of community banks are also a “bad deal for taxpayers, echoing recent arguments made by ICBA CEO Rebeca Romero Rainey, who noted that credit unions' acquisitions of banks in recent years has resulted in more than $264 million annually in income tax losses. “These transactions are effectively corporate inversions without leaving the country,” Nichols said in a letter to Democratic and Republicans leaders on the House and Senate banking panels. “At a time when state and local government financing is also a major public concern, the increasing frequency of these deals and loss of income-tax revenue also becomes an expanding problem for local communities.” Nichols added that the recent trend of credit union purchases of banks warrants lawmakers’ reconsideration of credit unions’ tax exemption.

 JPMorgan, Deutsche Bank said to be among firms sued by 1MDB -- Malaysia’s 1MDB and a former unit have filed suits against firms including JPMorgan Chase and Deutsche Bank as the nation seeks to recover assets worth more than $23 billion linked to the scandal-plagued state-owned investment fund. 1MDB, whose full name is 1Malaysia Development, and SRC International filed a combined 22 civil suits against a slew of entities and individuals for various alleged wrongdoings including fraud and conspiracy to defraud the fund, the Finance Ministry said on Monday. Among those named were JPMorgan and Deutsche Bank, according to a person familiar with the matter who declined to be identified discussing nonpublic information. Peter Foley/BloombergAt least two suits were filed in London, according to publicly available court records. Deutsche Bank’s Singapore branch faces a lawsuit, while 1MDB separately sued Citigroup’s head of commodities research Ed Morse alleging professional negligence, the filing shows. JPMorgan declined to comment while Deutsche said it hasn’t been served any papers on 1MDB and isn’t aware of any basis for a legitimate claim. The banks were named earlier on Monday by the Edge newspaper. New York-based Morse didn’t respond to an email seeking comment outside business hours, and Citigroup couldn’t immediately comment. The court proceedings mark Malaysia’s continuing efforts to recover billions of dollars allegedly siphoned from 1MDB by people connected to the country’s former prime minister. Over much of a decade, 1MDB has become shorthand for one of the world’s most daring heists — a conspiracy that spawned probes in Asia, the U.S. and Europe. Authorities have spent years tracking funds that allegedly flowed from 1MDB into high-end art and real estate, a super yacht and, ironically, the hit Hollywood movie “The Wolf of Wall Street,” chronicling an earlier era of financial crimes. The government has had a string of recent successes, the most high-profile coming last year when Goldman Sachs Group reached a $3.9 billion pact with Malaysian authorities to resolve probes into the Wall Street giant’s role in the scheme. Goldman’s overall tab for additional settlements with authorities in the U.S., U.K. and Hong Kong swelled to more than $5 billion. In March, Deloitte PLT agreed to a 324-million ringgit ($80 million) settlement with the Malaysian government to resolve all claims related to the firm’s audit of 1MDB and SRC between 2011-2014. The deal also came less than a week after Malaysian lender AMMB Holdings Bhd. agreed to a $699 million settlement over its role in dealings linked to 1MDB. 'Pursuing wrongdoers' A Malaysian court is currently hearing an appeal by ex-Prime Minister Najib Razak to overturn his conviction and 12-year jail sentence linked to the 1MDB scandal that brought down his government in 2018.

Bill Black: The Best Way to Rob a Bank Is to Own One (Part 1/9) -- Yves Smith:  Bill Black is back! The website New Economic Perspectives, where Bill and many MMT luminaries held forth, has gone quiet. But Bill was also a regular at Paul Jay’s The Real News Network, and Black has come for a long-form discussion at Jay’s new initiative, TheAnalysis.news. Bill uses the title of his book to review and update financial fraud, American style, which means driven primarily by bank executives. He starts with a review of the S&L crisis, where he not only had a ringside seat but also successfully pursued some of the perps. This is one of the reason Bill has little sympathy for the failure to prosecute bankers: he’s shown it can be done. Podcast: Play in new window | Download (Duration: 56:46 — 78.2MB) Subscribe: Google Podcasts | Spotify | iHeartRadio | Email | Deezer | RSS | More

 Court decision muddies debt collector communications -A recent appeals court ruling is threatening to wreak havoc on the debt collection industry while raising questions about the viability of the Consumer Financial Protection Bureau’s debt collection rule set to take effect within months. In a surprise ruling in April, a three-judge panel of the 11th U.S. Circuit Court of Appeals said a debt collector violated the Fair Debt Collection Practices Act when it used a third-party vendor to issue an official notice to a consumer about an outstanding debt. The decision reversed a lower court's ruling to dismiss the lawsuit, meaning the case could be sent back to reach an eventual outcome. Still, the appeals court said the collector ran afoul of the prohibition on disclosing a debtor's information to a third party. Companies that routinely use third-party letter vendors, particularly mortgage servicers, say the decision has far-reaching consequences. For now, the ruling only applies to debt collectors in Florida, Georgia and Alabama, but some have raised the possibility that it could be applied more broadly. “It was a very surprising and tremendously disruptive decision,” said Justin Wiseman, associate vice president and managing regulatory council at the Mortgage Bankers Association. “It throws a cloud of uncertainty over [the MBA's] members in these states. Mortgage servicers are looking at their vendor relationships in light of this decision.” The case involves the plaintiff Richard Hunstein who sued Johns Hopkins All Children’s Hospital over a debt for his son’s medical treatment. The three-judge panel ruled that his case against a Tampa, Fla., debt collector, Preferred Collection and Management Services Inc., can continue. The judges said Preferred violated the FDCPA by sending information about the debt electronically to CompuMail Inc., a Concord, Calif., collection letter vendor. The FDCPA bars any communication about a debt to a third party. But for decades, financial services companies have routinely outsourced to vendors back-office functions such as sending debt collection letters and other notices to consumers. Experts say the court's decision upended long-established, standard industry practices. "Everybody has been doing this for years," said Aaron Weiss, an attorney and shareholder at Carlton Field. “The information is electronically transmitted to the letter vendor, that’s what they do, that’s their stock-in-trade. And it was taken for granted that this isn’t an issue. Now this decision is going to change how things are done.”

 At $49.1 Trillion, the U.S. Stock Market Is Larger than the Combined GDP of the U.S., China, Japan and Germany - Pam Martens --When the motherlode of stock market bubbles finally pops, exposing the corrupt edifices on which it was built, you can count on one thing for sure – there will be lots of testimony before Congress that no one could have seen it coming.  The simple chart above, that took us 30 minutes to prepare in an Excel spreadsheet, is proof that anyone among the legions of Wall Street bank regulators at the Federal Reserve, the OCC, the FDIC, and the SEC can see what’s coming.The chart compares U.S. GDP to the total stock market value at December 31, 1999, prior to the bursting of the dot.com bubble; at December 31, 2007, prior to the bursting of the subprime and derivatives bubble; and on December 31, 2020, prior to the bursting of whatever the bailout boys decide to call this bubble. Our data for total stock market value comes from Siblis Research. Our data for GDP comes from the U.S. Bureau of Economic Analysis as compiled by the St. Louis Fed. (Put your cursor on the graph line in the St. Louis Fed link for the GDP numbers by quarter.) The data shows that just prior to the dot.com bust on December 31, 1999 that resulted in the Nasdaq stock market losing a stunning 78 percent of its value from peak to trough, the total stock market value was 1.77 times GDP. At year-end 2007, prior to the greatest Wall Street collapse since the Great Depression, the total stock market value was 1.34 times GDP. As of December 31, 2020, total stock market value represented 2.10 times U.S. GDP. Siblis Research further shows that as of March 31 of this year, total stock market value in the U.S. stands at a breathtaking $49.1 trillion. (That includes U.S. based public companies listed on the New York Stock Exchange, Nasdaq Stock Market or OTCQX U.S. Market.) A $49.1 trillion stock market is larger than the combined GDP of the four largest industrialized nations (U.S., China, Japan and Germany) according to International Monetary Fund data. The absurdity of the valuations in the U.S. market are captured in this statistic: just five companies (Apple, Microsoft, Amazon, Google’s parent Alphabet, and Facebook) account for a total of $7.85 trillion of the $49.1 trillion total stock market value. That’s five companies out of thousands and yet they represent 16 percent of the total stock market value. And here’s another deeply troubling thought: each of those five stocks are being traded in the Wall Street banks’ secretive Dark Pools. The U.S. economy and millions of our fellow Americans suffered terribly during each of the last crashes, which must be placed directly at the feet of the regulators who failed to do their job on behalf of the American people, opting instead to audition for lucrative jobs on Wall Street.

 The Smartest Guys in the Room Call Bitcoin “Rat Poison Squared,” “a Colossal Pump-and-Dump Scheme” and “a Big Criminal Scam” but Federal Regulators Look the Other Way - By Pam Marten -  In his 1841 classic on market bubbles, Extraordinary Popular Delusions and the Madness of Crowds, the Scottish journalist Charles Mackay wrote this about the Tulip bubble: “The rage among the Dutch to possess them was so great that the ordinary industry of the country was neglected…”  Four centuries have apparently not cured the propensity toward idiocy when the lure of riches beckons. The market cap of Bitcoin is now in excess of $1 trillion, despite the fact that it is backed by absolutely nothing.  No amount of disdain toward Bitcoin by the smartest guys in the room can stop the creature’s incessant climb. Bitcoin has multiplied more than five-fold since September, trading yesterday at over $56,000. Bitcoin has been thoroughly discredited by some of the smartest people in the investment community and global finance, but that hasn’t stopped the oldest futures exchange in the U.S., CME Group, from offering futures and options trading on Bitcoin. CME Group’s federal regulator, the Commodity Futures Trading Commission (CFTC), explains in this podcast that all that CME Group had to do to launch its Bitcoin futures was to “self-certify” its plan with its regulator, the CFTC. The self-certified plan may be just fine – it’s the underlying product based on nothing that the regulator seems to have ignored.  The CME Group has exchanges that provide for futures trading based on real things: like milk, wheat, soy beans, oil, gasoline, ethanol and so forth. These are real things that fuel economic growth in the United States and/or feed a nation of 331 million people. To paraphrase Mackay in Extraordinary Popular Delusions and the Madness of Crowds to sum up today’s Bitcoin craze in the U.S.: The rage among speculators to trade Bitcoin was so great that the harm this would do in the long-term to the reputation of integrity in U.S. markets was simply ignored by Congress and regulators. One of the most respected investors in America, Warren Buffet, summed up Bitcoin like this in May 2018: Bitcoin is “probably rat poison squared.” In January of the same year, Buffet told CNBC in an interview that “In terms of cryptocurrencies, generally, I can say with almost certainty that they will come to a bad ending.” Also in 2018, Bill Harris, the former CEO of Intuit and PayPal, wrote a detailed critique of Bitcoin for Vox, under the headline: “Bitcoin is the greatest scam in history.”  If Bitcoin is a pump and dump scheme, nothing is going to help that scheme to succeed over the short term more than highly leveraged futures trading, so conveniently accommodated by the CME Group and its equally accommodating federal regulator, the CFTC. In July 2019, NYU Professor and economist Nouriel Roubini launched a scathing analysis of Bitcoin. In a Bloomberg interview, Roubini said this:“Crypto currencies are not even currencies. They’re a joke…The price of Bitcoin has fallen in a week by how much – 30 percent. It goes up 20 percent one day, collapses the next. It’s trading one sh*tcoin for another sh*tcoin. That’s the entire trading or currency in the space where’s there’s price manipulation, spoofing, wash trading, pump and dumping, frontrunning. It’s just a big criminal scam and nothing else.” Later in the interview, Roubini added this: “There are millions of degenerate gamblers that are retail suckers, and they’re gonna create something where they can leverage not 10 times, not 50 times, but 100 times. It’s worse than those drug pushers who give you crack cocaine for free to get you addicted and then lead you to be broke….”

Morgan Stanley Has Paid Fines for Two Decades for Abusing Customers with In-House Products, Now It Plans to Stuff Bitcoin Futures into Its Mutual Funds and Retiree Annuities -- Pam Martens  --Morgan Stanley has more than 15,000 financial advisors calling clients each day with investment recommendations that are frequently engineered inside the firm. (These are known as in-house or proprietary products.) For the past two decades, we have been reading about regulatory fines against Morgan Stanley for abusing its customers in these home-grown offerings.In November 2000, Morgan Stanley’s Dean Witter unit was charged by the National Association of Securities Dealers’ regulatory arm with selling over $2 billion of Term Trusts to more than 100,000 customers using an internal marketing campaign that characterized the investments as safe and low-risk. The NASD Regulation complaint said that Dean Witter targeted “certificate of deposit holders and other conservative investors, many of whom were elderly with moderate, fixed incomes…” The risky Term Trusts at one point had lost over 30 percent of their value and had to reduce their dividends by nearly a third.The NASD Regulation complaint noted that “Dean Witter’s marketing effort for the Term Trusts also included high-pressure sales efforts at the regional and branch levels, include the use of sales contests and sales quotas.”In 2003, Morgan Stanley was fined $50 million by the Securities and Exchange Commission for improper mutual fund sales practices. The SEC said the firm had set up a “Partners Program” in which a “select group of mutual fund complexes paid Morgan Stanley substantial fees for preferred marketing of their funds.”  In November 2019, the SEC again charged and fined Morgan Stanley for selling its customers more expensive share classes of mutual funds when less expensive share classes were available. One would think that Morgan Stanley might now be cautious and try to avoid further wrath from regulators over its mutual fund practices. Just the opposite appears to be the case. As we pointed out earlier this week, Bitcoin has been thoroughly discredited by some of the smartest people in the investment community. The only thing more risky than buying Bitcoin with cash is buying Bitcoin with leveraged futures contracts. And that’s just what Morgan Stanley told the SEC in recent filings that it plans to do. Yes, Morgan Stanley plans to stuff Bitcoin futures contracts into a host of its own mutual funds. If that’s not troubling enough, Cayman Island subsidiaries also come into play with these Bitcoin futures contracts . Per the April 30, 2021 prospectus from Morgan Stanley: “.Each of the Advantage Portfolio, Asia Opportunity Portfolio, Counterpoint Global Portfolio, Developing Opportunity Portfolio, Global Insight Portfolio, Global Opportunity Portfolio, Global Permanence Portfolio, Growth Portfolio, Inception Portfolio, International Advantage Portfolio, International Opportunity Portfolio and Permanence Portfolio may, consistent with its principal investment strategies, invest up to 25% of its total assets in a wholly-owned subsidiary of the Fund organized as a company under the laws of the Cayman Islands. Each Subsidiary may invest in GBTC [Grayscale Bitcoin Trust], cash-settled bitcoin futures and other investments…

 Why everyone from Elon Musk to Janet Yellen is worried about bitcoin's energy usage - Elon Musk's decision to stop Tesla from accepting bitcoin as payment has led to fresh scrutiny of the cryptocurrency's environmental impact. Musk said Wednesday that Tesla had halted purchases of its vehicles with bitcoin due to concerns over the "rapidly increasing use of fossil fuels for bitcoin mining." He alluded to data from researchers at Cambridge University which shows bitcoin's electricity usage spiking this year. Tesla won't sell its bitcoin — the automaker is sitting on $2.5 billion worth of the digital coin — and Musk said it intends to resume transactions with bitcoin once mining "transitions to more sustainable energy." "We are also looking at other cryptocurrencies that use <1% of Bitcoin's energy/transaction," Musk said. Musk's comments roiled cryptocurrency markets, which have shed as much as $365.85 billion in value since his tweet. Critics of bitcoin have long been wary of its impact on the environment. The cryptocurrency uses more energy than entire countries such as Sweden and Malaysia, according to the Cambridge Bitcoin Electricity Consumption Index. To understand why bitcoin is so energy-intensive, you have to look at its underlying technology, the blockchain. Bitcoin's public ledger is decentralized, meaning it isn't controlled by any single authority. It's constantly being updated by a network of computers around the world. So-called miners run purpose-built computers to solve complex math puzzles in order to make a transaction go through. This is the only way to mint new bitcoins. Miners do not run this operation for free. They have to shell out huge sums on specialized equipment. "More and more electricity is being used," Alexander told CNBC. "That means that the network difficulty will also be going up (and) more miners are coming in because the hash rate's going up." Bitcoin's price is up almost 70% so far this year. As it goes up in price, the revenue to miners also increases, incentivizing more participants to mine the cryptocurrency. Meanwhile, Musk isn't the only one who's worried about the environmental impact of bitcoin. In February, Treasury Secretary Janet Yellen warned that the digital coin is "extremely inefficient" for making transactions and uses a "staggering" amount of power. On the one hand, bitcoin's network uses an unfathomable amount of energy. Much of the mining of bitcoin is concentrated in China, whose economy is still heavily reliant on coal On the other side of the debate, bitcoin investors have attempted to push back on the narrative that it's harmful for the environment. While it's difficult to determine the energy mix that powers bitcoin, some in the crypto industry say miners are incentivized to use renewables as it's getting cheaper to produce them.

Sputtering About Crypto and the US Pipeline Ransomware Attack  Yves Smith - When situations develop in a predictably bad direction and some people including yours truly saw it coming, at least in broad outlines, and pretty much no one took basic steps to change the trajectory, it’s hard not to marvel at our collective stupidity. I sent a little rant to our Brexit group, which is overweight in experts in banking, IT, and regulatory matter, on the Colonial Pipeline hacking debacle and the role of crypto in it.Note that as of yesterday, gas shortages were starting to stick. Local contacts said nearly all gas stations around Atlanta were out of gas, for instance. From the Wall Street Journal:Last night, Colonial announced it was “restarting” its service. I’m not the only one who noticed the paucity of details such as when they expected to be back to normal. Officially, per Reuters, Colonial is making no comment as to whether it paid or might pay a ransom. However, it appears Colonial is trying to have it both ways. From the article:Colonial Pipeline does not plan to pay the ransom demanded by hackers who have encrypted its data, according to sources familiar with the company’s response on Wednesday. “Does not plan to” is not “will not”.  Now let’s step back a little:

• 1. No one saw this coming??? Did all of these big infrastructure providers, and more important, their government dependents miss Stuxnet and Iran? That was 2010, dudes. Of course, we are now generations into software and hardware where security was never a high priority in design (witness default user IDs and passwords of “admin/admin”). Retrofitting is much much harder than building it in from the get go, but we are well past where that’s attainable. And that’s before you get to corporate cultures where inconveniencing workers is a career limiting move for an IT professional.
• 2. The ransom ($1 billion) has to be due in crypto. Yet no one is saying this is confirmation that letting crypto run wild was a bad idea? And on top of that, the $1 billion ask has now focused the minds of all sorts of criminal mischief-makers as to how profitable holding the right actors hostage could be. By contrast, if anyone tried to move $1 billion through the banking system, even to a bank in a supposedly-beyond-our-reach country, Gina Haspel and every sadistic mercenary in US employ would be on the list for the team to capture and render that bank’s execs. We’d find it imperative to make an example of them.
• 3. Worse I see crap like this, from a Politico newsletter:Lawmakers could crack down on the anonymity of cryptocurrency marketplaces by requiring them to collect more information about their users. But that effort, too, would provoke strong opposition from the cryptocurrency industry, which is assembling a growing army of lobbyists. So what next, a syphilis lobby? It’s not just “marketplaces,” it’s the whole damned premise.Banks had to have known that the use case was criminal, which to them means high margin. They stupidly thought they could wind up owning enough of the market for it to make for a decent profit center. So they didn’t oppose it and many supported it.

Tech audit of Colonial Pipeline found 'glaring' problems (AP) — An outside audit three years ago of the major East Coast pipeline company hit by a cyberattack found “atrocious” information management practices and “a patchwork of poorly connected and secured systems,” its author told The Associated Press.“We found glaring deficiencies and big problems,” said Robert F. Smallwood, whose consulting firm delivered an 89-page report in January 2018 after a six-month audit. “I mean an eighth-grader could have hacked into that system.”How far the company, Colonial Pipeline, went to address the vulnerabilities isn’t clear. Colonial said Wednesday that since 2017, it has hired four independent firms for cybersecurity risk assessments and increased its overall IT spending by more than 50%. While it did not specify an amount, it said it has spent tens of millions of dollars.“We are constantly assessing and improving our security practices — both physical and digital,” the privately held Georgia company said in response to questions from the AP about the audit’s findings. It did not name the firms who did cybersecurity work but one firm, Rausch Advisory Services, located in Atlanta near Colonial’s headquarters, acknowledged being among them. Colonial’s chief information officer sits on Rausch’s advisory board.

Hacker group behind Colonial Pipeline attack claims it has three new victims - The hacker group DarkSide claimed on Wednesday to have attacked three more companies, despite the global outcry over its attack on Colonial Pipeline this week, which has caused shortages of gasoline and panic buying on the East Coast of the U.S. Over the past 24 hours, the group posted the names of three new companies on its site on the dark web, called DarkSide Leaks. The information posted to the site includes summaries of what the hackers appear to have stolen but do not appear to contain raw data. DarkSide is a criminal gang, and its claims should be treated as potentially misleading. The posting indicates that the hacker collective is not backing down in the face of an FBI investigation and denunciations of the attack from the Biden administration. It also signals that the group intends to carry out more ransom attacks on companies, even after it posted a cryptic message earlier this week indicating regret about the impact of the Colonial Pipeline hack and pledging to introduce "moderation" to "avoid social consequences in the future." One of the companies is based in the United States, one is in Brazil and the third is in Scotland. None of them appear to engage in critical infrastructure. Each company appears to be small enough that a crippling hack would otherwise fly under the radar if the hackers hadn't received worldwide notoriety by crippling gasoline supplies in the United States. The U.S.-based company is a technology services reseller based in Illinois. DarkSide claims to have stolen more than 600 gigabytes of sensitive information, including passwords, financial information, HR information and employee passports from it. The Brazilian company is a reseller of renewable energy products, and DarkSide claims possession of more than 400 gigabytes of data from it including "personal data of clients" and "details of agreements." The Scottish company is in the construction industry, and DarkSide claims to have stolen 900 gigabytes including contracts, commercial and personal data going back three years. CNBC has contacted each of the companies for comment on the apparent ransomware attacks.

 Why Diem chose to be regulated in the U.S - The Facebook-affiliated Diem cryptocurrency has changed almost everything about itself — name, structure, partners and timeline — since its inception. Its change of location, from Switzerland to the U.S., may be one of its most significant. Due in part to its relationship to the data-hungry Facebook, Diem (formerly Libra) has faced pressure from regulators around the world. To move ahead, the project needed to finally plant its flag. Diem this week shifted its headquarters location to the U.S. and chose Silvergate Bank, a California-based, blockchain-friendly, U.S.-regulated institution, to issue the stablecoin. By making this move, Diem picks up an experienced partner that could help smooth its path into other nations. "Financial regulators and politicians will be more comfortable with 'Diem U.S.' headquartered in the U.S. than in Switzerland, and issuing dollar-backed Diem stablecoins through a bank regulated by the Fed," said Eric Grover, a principal at Intrepid Ventures. Regulatory certainty will be vital to Diem's growth. The evolution of the digital currency market creates questions about how the ecosystem will manage different approaches, including central bank digital currencies, nonfungible tokens and cryptocurrency, said Thad Peterson, a senior analyst at Aite group. "Given the challenges Diem has faced so far, it makes sense to get a more simple approach to developing the business," Peterson said. "One bank and one currency or stablecoin will make it easier for Diem to develop and prove the concept so they can convince other players of the relevance and validity of its approach." Diem can benefit from the size and breadth of the U.S., where cryptocurrency and blockchain businesses have matured quickly during the two years since Diem first issued its white paper. Diem is expected to launch this year, a timeline that puts it behind other U.S. stablecoins. But while Diem loses early-mover advantage, it's also entering a market in which blockchains and smart contracts are more accepted by enterprises — and cryptocurrency in general is more known to consumers.

Fannie and Freddie: REO inventory declined in Q1, Down 58% Year-over-year --Fannie and Freddie earlier reported results two weeks ago for Q1 2021. Here is some information on Real Estate Owned (REOs).  Note that COVID is impacting foreclosure activity, from Freddie: "The volume of foreclosures declined significantly, year-over-year, primarily due to the foreclosure moratorium that will remain in effect through June 30, 2021." emphasis addedFreddie Mac reported the number of REO declined to 1,604 at the end of Q1 2021 compared to 4,168 at the end of Q1 2020.For Freddie, this is down 98% from the 74,897 peak number of REOs in Q3 2010.Fannie Mae reported the number of REO declined to 6,918 at the end of Q1 2021 compared to 16,289 at the end of Q1 2020.For Fannie, this is down 96% from the 166,787 peak number of REOs in Q3 2010. Here is a graph of Fannie and Freddie Real Estate Owned (REO).REO inventory decreased in Q1 2021, and combined inventory is down 58% year-over-year.This is well below a normal level of REOs for Fannie and Freddie.

MBA Survey: "Share of Mortgage Loans in Forbearance Decreases to 4.36%" -- Note: This is as of May 2nd.  From the MBA: Share of Mortgage Loans in Forbearance Decreases to 4.36%%: The Mortgage Bankers Association’s (MBA) latest Forbearance and Call Volume Survey revealed that the total number of loans now in forbearance decreased by 11 basis points from 4.47% of servicers’ portfolio volume in the prior week to 4.36% as of May 2, 2021. According to MBA’s estimate, 2.2 million homeowners are in forbearance plans.The share of Fannie Mae and Freddie Mac loans in forbearance decreased 10 points to 2.32%. Ginnie Mae loans in forbearance decreased 20 basis points to 5.82%, while the forbearance share for portfolio loans and private-label securities (PLS) remained unchanged at 8.55%. The percentage of loans in forbearance for independent mortgage bank (IMB) servicers decreased 12 basis points to 4.58%, and the percentage of loans in forbearance for depository servicers declined 15 basis points to 4.47%.“The pace in the declining share of loans in forbearance quickened in the last week of April. This 10th week of decreases reflected a faster rate of exits and a steady, low level of new requests,” said Mike Fratantoni, MBA’s Senior Vice President and Chief Economist. “Homeowners who have exited forbearance and been able to take up their original payment again are performing at almost the same rate as the overall mortgage servicing portfolio.”Added Fratantoni, “More than 47 percent of borrowers in forbearance extensions are past the 12- month mark as of the end of April. Many homeowners continue to struggle and are falling farther behind on their obligations each month. We expect that a robust economic and job market recovery over the next several months will help these families regain their jobs and their incomes.”This graph shows the percent of portfolio in forbearance by investor type over time.  Most of the increase was in late March and early April, and has trended down since then.The MBA notes: "Total weekly forbearance requests as a percent of servicing portfolio volume (#) remained unchanged relative to the prior week at 0.05%"

Black Knight: Number of Homeowners in COVID-19-Related Forbearance Plans Decreased - Note: Both Black Knight and the MBA (Mortgage Bankers Association) are putting out weekly estimates of mortgages in forbearance.This data is as of May 11th.From Black Knight: Forbearance Volumes Continue to Decline We saw another week of good news in terms of forbearance volumes, which fell by 61,000(-2.7%), continuing the strong trend of early-in-the-month improvements. Declines were seen across the board this week, with GSE forbearance volumes falling by 13K (-1.9%), FHA/VA plan volumes improving by 19K (-2.1%) and PLS/portfolio forbearances decreasing by 29K (-4.6%). Total plan starts are down 13% month-over-month, and continue to slowly decline.Some 250K plans are still listed with May 2021 expiration dates, which will provide a moderate opportunity for additional improvements over the next few weeks, and more acutely in early June. Another 860K plans are currently slated for review for extension/removal next month, the final quarterly review before early forbearance entrants begin to reach their 18-month plan expirations later this year. Thirty-eight percent of loans reviewed for extension/removal over the past month have been removed from forbearance, the highest such removal rate since mid-FebruaryAs of May 11, 2.16 million (4.1% of) homeowners remain in COVID-19 related forbearance plans, including 2.5% of GSE loans, 7.3% of FHA/VA loans, and 4.6% of portfolio/PLS loans.

 MBA: Mortgage Applications Increase in Latest Weekly Survey --From the MBA: Mortgage Applications Increase in Latest MBA Weekly Survey: Mortgage applications increased 2.1 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending May 7, 2021.... The Refinance Index increased 3 percent from the previous week and was 12 percent lower than the same week one year ago. The seasonally adjusted Purchase Index increased 1 percent from one week earlier. The unadjusted Purchase Index increased 1 percent compared with the previous week and was 13 percent higher than the same week one year ago.“Mortgage rates fell last week to the lowest levels since February, tracking the dip in Treasury yields. The decline in rates helped the refinance index reach its highest level in eight weeks, driven by a 4 percent increase in conventional refinances. Additionally, refinance loan balances increased for the fourth straight week, an indication that higher-balance borrowers acted to take quick advantage of lower rates,”  . Applications were up 13 percent from a year ago, which was around the time the housing market awakened from the pandemic-induced stall in activity. Most markets this spring continue to see robust demand, but activity continues to be constrained by insufficient inventory levels, as well as homebuilder challenges related to the ongoing shortages and price increases for building materials.”...The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($548,250 or less) decreased to 3.11 percent from 3.18 percent, with points decreasing to 0.32 from 0.34 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans.The first graph shows the refinance index since 1990.With low rates, the index remains elevated, but below recent levels since mortgage rates have moved up from the record lows. The second graph shows the MBA mortgage purchase index

NMHC: Rent Payment Tracker Shows Households Paying Rent Decreased Slightly YoY in Early May --From the NMHC: NMHC Rent Payment Tracker Finds 80.0 Percent of Apartment Households Paid Rent as of May 6: The National Multifamily Housing Council (NMHC)’s Rent Payment Tracker found 80.0 percent of apartment households made a full or partial rent payment by May 6 in its survey of 11.7 million units of professionally managed apartment units across the country.  This is a 0.1 percentage point decrease from the share who paid rent through May 6, 2020 and compares to 81.7 percent that had been paid by May 6, 2019. This data encompasses a wide variety of market-rate rental properties across the United States, which can vary by size, type and average rental price.  “This month’s findings are part of what seems to be an increasingly clear pattern of economic recovery and strong demand for multifamily housing,” said Doug Bibby, NMHC President. “With more and more vaccines being administered, job creation on the rise and tens of billions in rental assistance being distributed to residents and housing providers in need, the outlook for the industry is a positive one.  This graph from the NMHC Rent Payment Tracker shows the percent of household making full or partial rent payments by the 6th of the month compared to 2019 and to the first COVID year.   Although payments are down from 2019, rent payments are mostly unchanged from last year. This is mostly for large, professionally managed properties.   The second graph shows full month payments through April compared to the same month the prior year.  For April, rent payments were up compared to April 2020, and down compared to April 2021. CR Note: There are some timing issues month to month.

 Leading Index for Commercial Real Estate Increased in April -- From Dodge Data Analytics: Dodge Momentum Index Increases In April: The Dodge Momentum Index posted an 8.6% gain in April, climbing to 162.4 (2000=100) from the revised reading of 149.5 in March. The Momentum Index, issued by Dodge Data & Analytics, is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. April’s gain marks the fifth consecutive monthly increase, and similar to February and March, was due to a large increase in institutional buildings entering the planning stage while commercial planning eased by less than one percent.Since hitting its nine-year low in January, institutional planning has rebounded substantially, climbing 77% over the last three months. Healthcare and laboratory projects continue to dominate the sector, pushing institutional planning 50% higher on a year-over-year basis. Conversely, the commercial component has slipped in recent months as fewer warehouse projects have entered planning, though the sector is 21% higher than in April 2020. Overall, the Momentum Index is 31% higher than last April, which was the first full month of COVID-19 shutdowns.This graph shows the Dodge Momentum Index since 2002. The index was at 162.4 in April, up from 149.5 in March.According to Dodge, this index leads "construction spending for nonresidential buildings by a full year".  This index suggests a decline in Commercial Real Estate construction through most of 2021, but maybe a pickup towards the end of the year.

Hotels: Occupancy Rate Down 17% Compared to Same Week in 2019 --Note: The year-over-year occupancy comparisons are easy, since occupancy declined sharply at the onset of the pandemic. However, occupancy is still down significantly from normal levels.The occupancy rate is down 17% compared to the same week in 2019.From CoStar: STR: Increased Supply Leads to Lower US Hotel Occupancy in First Week of May: Due to more supply in the marketplace, U.S. hotel occupancy fell slightly from the previous week, according to STR's latest data through May 8.  May 2-8, 2021:
• Occupancy: 56.7%
• Average daily rate (ADR): US$110.19
• Revenue per available room (RevPAR): US$62.50
Demand was up week over week, but an increase in supply from both reopenings and new properties pulled national occupancy down. Major markets, such as New York City and San Francisco, are showing the most movement with properties coming back online. The following graph shows the seasonal pattern for the hotel occupancy rate using the four week average. The red line is for 2021, black is 2020, blue is the median, and dashed light blue is for 2009 (the worst year on record for hotels prior to 2020).  Occupancy is now slightly above the horrible 2009 levels.

 Small Business Optimism Increased in April - From the National Federation of Independent Business (NFIB): April 2021 Report: The NFIB Small Business Optimism Index rose to 99.8 in April, an increase of 1.6 points from March. The Optimism Index has increased 4.8 points over the past three months since January but a record 44% of owners reported job openings they could not be filled....Strong job growth continued for small businesses in April. Firms increased employment by 0.31 workers per firm on average over the past few months. The average has been above 0.30 since December 2020, historically an exceptional performance. This graph shows the small business optimism index since 1986. The index increased further in April.

NY Fed Q1 Report: Total Household Debt Increased in Q1 2021, Mortgage Origination Credit Scores Edged Up - From the NY Fed: Credit Card Balances See Second Largest Quarterly Decline in Series’ History, Driven by Paydowns Among Borrowers and Constrained Consumption Opportunities: The Federal Reserve Bank of New York's Center for Microeconomic Data today issued itsQuarterly Report on Household Debt and Credit. The report shows that total household debt increased by $85 billion (0.6%) to $14.64 trillion in the first quarter of 2021. The total debt balance is now $344 billion higher than the year prior. While mortgage, auto loan, and student loan balances have continued to increase, credit card balances have substantially decreased. The Report is based on data from the New York Fed's Consumer Credit Panel, a nationally representative random sample of individual- and household-level debt and credit records drawn from anonymized Equifax credit data. Mortgage balances—the largest component of household debt—rose by $117 billion in the first quarter of 2021 and stood at $10.16 trillion at the end of March. Credit card balances declined by $49 billion in the first quarter, a substantial drop and the second largest quarterly decline in card balances in the history of the data (since 1999). Credit card balances are $157 billion lower than they had been at the end of 2019, consistent with both paydowns among borrowers and constrained consumption opportunities. ...New extensions of credit were strong in 2021Q1 in both mortgages and auto loans. Mortgage originations, which include mortgage refinances, reached $1.1 trillion, only slightly below the record high seen in 2020Q4. Auto loan originations, which includes both loans and leases, edged down slightly but remain high at $153 billion. Only 15% of the $153 billion of newly originated auto loans were originated to borrowers with credit scores below 620, the lowest share seen in the history of the data..  Here are two graphs from the report:The first graph shows aggregate consumer debt increased in Q1.  Household debt previously peaked in 2008, and bottomed in Q3 2013. Unlike following the great recession, there wasn't a huge decline in debt during the pandemic.  From the NY Fed: Aggregate household debt balances increased by $85 billion in the first quarter of 2021, a 0.6% rise from 2020Q4, and now stand at $14.64 trillion. Balances are $499 billion higher than at the end of 2019.  The second graph shows the percent of debt in delinquency. The overall delinquency rate decreased in Q1.

Credit card balances slide again even as consumer spending rebounds - U.S. households again reduced their credit card balances in the first quarter, the Federal Reserve Bank of New York said Wednesday, even as vaccinations and reopenings were helping to rekindle consumer spending. Card balances fell by $49 billion in the quarter, as stimulus payments and more limited travel and entertainment activities put Americans in better shape to pay off revolving debt. The debt reduction was short of the $76 billion quarterly dive at the start of the pandemic but still marked the second largest decrease in the data. The New York Fed’s quarterly household debt and credit report uses figures dating back to 1999. “The decline in the first quarter of 2021 is remarkable because it stands in sharp contrast to the recovery underway in the retail sector as the U.S. economy reopens and travel resumes,” a team of New York Fed officials wrote in a blog post. Though credit card balances continued to drop, increases in mortgage, auto and student loan balances pushed overall household debt up by $85 billion. U.S. households had $14.64 trillion in total debt during the first quarter, up by nearly $500 billion since the end of 2019. The trimming of credit card balances has been happening among residents of higher-income areas and lower-income ones, though members of the former group have paid down debt at the highest rates. The trend is evident among all age groups, with borrowers ages 20 to 29 accounting for the smallest share of the decline, but still showing decreases. The paydowns have weighed on major banks’ card revenues, though the card issuers have also benefited from better credit quality.

 Retail Sales Unchanged in April - On a monthly basis, retail sales were unchanged from March to April (seasonally adjusted), and sales were up 51.2 percent from April 2020. From the Census Bureau report: Advance estimates of U.S. retail and food services sales for April 2021, adjusted for seasonal variation and holiday and trading-day differences, but not for price changes, were $619.9 billion,virtually unchanged from the previous month, and 51.2 percent above April 2020. ... The February 2021 to March 2021 percent change was revised from up 9.7 percent to up 10.7 percent.  This graph shows retail sales since 1992. This is monthly retail sales and food service, seasonally adjusted (total and ex-gasoline).  Retail sales ex-gasoline were up 0.1% in April. The stimulus checks boosted retail sales significantly in March and April.  The second graph shows the year-over-year change in retail sales and food service (ex-gasoline) since 1993.  Retail and Food service sales, ex-gasoline, increased by 49.5% on a YoY basis.  Sales in April were slightly below expectations, however sales in March were revised up (February was revised down).

 BLS: CPI increased 0.8% in April, Core CPI increased 0.9% From the BLS: -- The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.8 percent in April on a seasonally adjusted basis after rising 0.6 percent in March, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index increased 4.2 percent before seasonal adjustment. This is the largest 12-month increase since a 4.9-percent increase for the period ending September 2008....The index for all items less food and energy rose 0.9 percent in April, its largest monthly increase since April 1982. Nearly all major component indexes increased in April. Along with the index for used cars and trucks, the indexes for shelter, airline fares, recreation, motor vehicle insurance, and household furnishings and operations were among the indexes with a large impact on the overall increase. The all items index rose 4.2 percent for the 12 months ending April, a larger increase than the 2.6- percent increase for the period ending March. Similarly, the index for all items less food and energy rose 3.0 percent over the last 12 months, a larger increase than the 1.6-percent rise over the 12 month period ending in March. The energy index rose 25.1 percent over the last 12-months, and the food index increased 2.4 percent. CPI and core CPI were well above expectations. I'll post a graph later today after the Cleveland Fed releases the median and trimmed-mean CPI.

US Core Consumer Prices Explode Higher At Fastest Pace Since 1981 - After March's blowout 0.6% MoM surge in headline CPI, analysts expected a modest slowdown MoM, but surge YoY due to the base-effect comps from April 2020's collapse. However, it appears analyst massively underestimated as headline CPI surged 0.8% MoM (4 times the +0.2% expected) and exploded 4.2% YoY. That is the biggest YoY jump since Sept 2008 (and biggest MoM jump since June 2008) Core CPI was expected to rise by the most this millennia, but it was hotter than that. The index for all items less food and energy rose 3.0% over the past 12 months; this was its largest 12-month increase since January 1996... and the MoM jump of 0.92% is the biggest since 1981Energy and Core Services dominated the surge... Services prices soared 4.4% YoY - the highest since 1991...Under the hood, everything was extremely hot... A 10.0-percent increase in the index for used cars and trucks was the largest contributor, but many indexes increased substantially. The index for lodging away from home rose sharply, increasing 7.6 percent. Rent inflation slowed again, from 1.83% Y/Y to 1.80%, but, shelter inflation rebounded strongly from 1.70% to 2.11%...The index for airline fares also rose sharply in April, increasing 10.2 percent. The indexes for recreation and for household furnishings and operations each increased 0.9 percent in April after rising 0.4 percent in March. The motor vehicle insurance index continued to rise, increasing 2.5 percent in April. The index for car and truck rentals increased sharply in April, rising 16.2 percent.The index for communication rose 0.4 percent in April after being unchanged in March. The apparel index rose 0.3 percent in April after declining in each of the 2 prior months. The indexes for education, alcoholic beverages, personal care, and tobacco also increased in April.The medical care index rose 0.1 percent in April, the same increase as in March. The index for prescription drugs rose 0.5 percent and the index for hospital services increased 0.2 percent. The index for physicians’ services, however, declined 0.3 percent in April after rising in each of the last 3 months.As a reminder though, there is nothing to see here, Fed is focused on jobs, not inflation which is "transitory"... forget about your crumbling cost of living... as real wages crash...

Here Is The Heatmap From Today's "Eye-Popping" CPI Report - As BOfA economist Alexander Lin writes, the "eye-popping" April CPI report was a "massive surprise" as core CPI strongly rose 0.9% (0.92% unrounded) sequentially, which was the largest gain since 1981 and blew away consensus forecasts of 0.3% (for a full range of shocked reactions from traders and strategists see this).However, in some potentially mitigating details, BofA reveals that near-term inflation pressures were driven by goods shortages and the reopening "and that was certainly the case this month as these two themes accounted for at least 70bp of the rise in core."

• First on  shortages, auto prices jumped 4.3% mom with particular strength in used cars, which posted a record increase of 10.0% mom. Despite this historic increase, there is likely further upside in the pipeline with Manheim wholesale used cars rising another 8.2% in April, which builds on the 11% increase from Jan through March.
• Household furnishings & supplies also jumped 0.9% mom, with strength in other goods like recreation (+1.2%) and education & communication (+3.1%).
• Related to the reopening, lodging away from home rose 7.6% mom and transportation services jumped 2.9%.
• In transportation services, airline fares leapt 10.2% mom and car & truck rental leasing surged 16.2% mom, which follows an already impressive 11.7% gain in March.
• The gains in lodging and airfares were both record highs, but prices remain 17.7% and 4.9% lower than pre-pandemic levels which means scope for further significant price increases in coming months.
• In leasing, rental car companies have been impacted by the production cuts in the auto sector as well, which has forced them to build back their fleets with used cars as travel recovers.
• Motor vehicle insurance prices also rose 2.5% mom, which could reflect more people getting back on the roads.

Meanwhile, Lin argues that more persistent sources of inflation were tamer. Rents and OER both came in at 0.2% mom, which while in line with the recent trend, is about to change as we discussed in "And Now Rents Are Soaring Too." Furthermore, as Joseph Carson notes, housing prices are up 18% in the past 12 months, a record increase and nine times the increase in owners' rent. "The old CPI included house prices. Inserting house prices in place of non-market owner rents, reported inflation would have been twice the 4.2% gain."Meanwhile, medical care inflation was flat as the boost from stimulus around the turn of the year faded. Within healthcare, insurance was a big drag, contracting 1.0% mom. Professional services also inched down -0.2% mom, while hospital rose 0.3% mom.A visual summary of the data looks like this, first on a M/M basis, where the base effect has no impact as it is sequential...n ... and then the YoY CPI print which is less relevant due to the collapse last March.

Cleveland Fed: Key Measures Show Inflation Increased in April --The Cleveland Fed released the median CPI and the trimmed-mean CPI this morning:According to the Federal Reserve Bank of Cleveland, the median Consumer Price Index rose 0.2% April. The 16% trimmed-mean Consumer Price Index rose 0.4% in April. "The median CPI and 16% trimmed-mean CPI are measures of core inflation calculated by the Federal Reserve Bank of Cleveland based on data released in the Bureau of Labor Statistics’ (BLS) monthly CPI report".Note: The Cleveland Fed released the median CPI details for April here. Car and truck rental was up 505% annualized! Used cars and trucks were up 215% annualized.This graph shows the year-over-year change for these four key measures of inflation. On a year-over-year basis, the median CPI rose 2.1%, the trimmed-mean CPI rose 2.4%, and the CPI less food and energy rose 3.0%. Core PCE is for March and increased 1.8% year-over-year.Note: We saw negative Month-to-month (MoM) core CPI and CPI readings in March, April and May 2020.  We also saw negative MoM PCE and core PCE reading in March and April 2020.  Although inflation picked up in April, the year-over-year change was impacted the base effect (decline last year).

April Producer Price Index: Core Final Demand Up 0.7% MoM - This morning's release of the April Producer Price Index (PPI) for Final Demand was at 0.6% month-over-month seasonally adjusted, down from a 1.0% increase last month. It is at 6.2% year-over-year, up from 4.2% last month, on a non-seasonally adjusted basis. Core Final Demand (less food and energy) came in at 0.7% MoM, unchanged from the previous month and is up 4.1% YoY NSA. Investing.com MoM consensus forecasts were for 0.3% headline and 0.4% core. Here is the summary of the news release on Final Demand:  The Producer Price Index for final demand increased 0.6 percent in April, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. Final demand prices rose 1.0 percent in March and 0.5 percent in February. (See table A.) On an unadjusted basis, the final demand index moved up 6.2 percent for the 12 months ended in April, the largest advance since 12-month data were first calculated in November 2010. About two-thirds of the April advance in the final demand index can be traced to a 0.6-percent increase in prices for final demand services. The index for final demand goods also moved up 0.6 percent. The index for final demand less foods, energy, and trade services rose 0.7 percent in April following an increase of 0.6 percent in March. For the 12 months ended in April, prices for final demand less foods, energy, and trade services moved up 4.6 percent, the largest advance since 12-month data were first calculated in August 2014. More… The BLS shifted its focus to its new "Final Demand" series in 2014, a shift we support. However, the data for these series are only constructed back to November 2009 for Headline and April 2010 for Core. Since our focus is on longer-term trends, we continue to track the legacy Producer Price Index for Finished Goods, which the BLS also includes in their monthly updates. As this (older) overlay illustrates, the Final Demand and Finished Goods indexes are highly correlated.

U.S. pump prices head for highest since 2014 as hacked fuel pipeline shut (Reuters) -U.S. gasoline prices at the pump jumped 6 cents in the latest week, according to the American Automobile Association (AAA), and could soon be headed for the highest level since 2014 due to a cyber attack that shut down the country's biggest fuel pipeline system. Average U.S. pump prices increased 6 cents per gallon in the latest week to $2.967 per gallon for regular unleaded gasoline, the AAA said. An increase of 3 more cents would make the national average the most expensive since November 2014. That prospect had U.S. motorists and small businesses worried about the hit to their wallets. A ransomware attack forced Colonial Pipeline to shut down its system on Friday in an outage expected to last a full week or more. On Monday, Colonial said it expects to "substantially" restore operational service by the end of this week. Still, some drivers on the East Coast were filling tanks as a precaution as gasoline demand picks up ahead of summer vacation season, and as more people are vaccinated against COVID-19. "I thought I better fill up right now," "I know what it costs, but I figure it's going to get worse, so I better go for it," The Colonial network ships more than 2.5 million barrels per day (bpd) of gasoline, diesel and jet fuel from the Gulf Coast to populous southeastern and northeastern states, making up nearly a half of U.S. East Coast fuel supply. The Southeast should feel the squeeze first. Areas including Mississippi, Tennessee and the East Coast from Georgia into Delaware are likely to feel pain at the pump with prices rising 3 to 7 cents this week, said AAA spokeswoman Jeanette McGee. Parts of Florida, Georgia, Alabama, South Carolina, North Carolina, and Tennessee rely on the line for fuel, and some suffered acute localized shortages and spikes in prices at the pump during previous shutdowns. "I went to five stations before I found a station that had premium only,"

Gas Stations Run Dry as Pipeline Hack Will Take Days to Fix -- Gas stations along the U.S. East Coast are starting to run out of fuel as North America’s biggest petroleum pipeline fights to recover from a cyberattack that has paralyzed it for days. From Virginia to Florida and Alabama, fuel stations are reporting that they’ve sold out of gasoline as supplies in the region dwindle and panic buying sets in. The White House said it was aware of shortages in the Southeast of the country and was trying to alleviate the problem. Four days into the crisis, Colonial Pipeline Co. has only managed to manually operate a small segment of the pipeline -- as a stopgap measure -- and doesn’t expect to be able to substantially restore service before the weekend. The risk is that by that point drivers or airlines may already be suffering severe fuel shortages, while refineries on the Gulf coast could be forced to idle operations because they have nowhere to put their product. U.S. average retail gasoline prices have risen to their highest since late 2014 due to the disruption, almost touching $3 per gallon. That could add to broader inflationary pressures as commodity prices from timber to copper also surge. The Colonial pipeline is the most important conduit to distribute gasoline, diesel and jet-fuel in the U.S., moving the products from the refiners based on the Gulf coast into urban areas from Atlanta to New York and beyond. Each day, it ships about 2.5 million barrels -- more than the entire oil consumption of Germany -- connecting more than 20 refineries with about 200 distribution centers. The vital conduit has been shut down since late Friday. Without the Colonial pipeline, many cities and airports must seek alternative supplies, either fuel imported by tanker or, if landlocked, relying on trucks. On Monday, the Federal Bureau of Investigation pointed the finger at a ransomware gang known as DarkSide. While cyberattacks are increasingly used around the world as a weapon against geopolitical rivals, there was no indication that the current crisis could boil over internationally. President Joe Biden stopped short of blaming the Kremlin for the attack, despite some evidence that the hackers or the software they used are “in Russia.” 

Gas outages reported in Big Bend and south Georgia after pipeline shut down— Gas shortages are being reported the Big Bend area and south Georgia after the Colonial Pipeline in Alpharetta shut down. ABC 27 received a report that police are directing traffic at Sams' Club due to the long lines as well as a report of no gas at the Circle K on Thomasville/Bannerman as well as the Chevron on Thomasville just before Bannerman. The Florida Department of Agriculture and Consumer Services says it is aware of issues that may potentially disrupt normal fuel pricing and sales in Floridan after the "cybersecurity hack" of the pipeline. Florida Agriculture Commissioner Nikki Fried shared a video update on social media, warning against "panic-buying" gas: “FDACS was recently alerted to a potential disruption in the fuel supply impacting the Pensacola region. This specific disruption is due to a company servicing that area that is unable to meet EPA standards on federal gasoline requirements under the Clean Air Act, which must be met annually by May 1. Given the federal regulation of this issue, FDACS immediately contacted the EPA to ensure situational awareness and facilitate direct communication with industry operators.. In general, Floridians may expect some fuel pricing and sales issues in the coming days due to several factors. These include the temporary shutdown of a major U.S. fuel pipeline due to a cyberattack, causing fuel to be trucked in to certain regions, as well as a shortage of truck drivers currently affecting both the fuel industry and agriculture industry. FDACS and I are in close, ongoing communication with the EPA, the U.S. Department of Energy, and the petroleum industry regarding this matter, and all partners ask that residents not panic-buy gas, hoard gas, or form long lines at gas stations, as fuel continues to move around our state.”

National gas average tops $3.02 a gallon as hacked pipeline slowly restarts - Gas prices have jumped more than 8 cents in the last week as the Colonial Pipeline shutdown disrupted a crucial artery in the U.S. petroleum industry. The company said it began to restart operations around 5 p.m. ET Wednesday evening, and said Thursday morning that "product delivery has commenced in a majority" of markets. Colonial Pipeline is aiming to restore service to all of its markets by mid-day. The majority of the pipeline had been shut since Friday after the company fell victim to a cyberattack. Energy Secretary Jennifer Granholm said earlier Thursday that the restart "went well overnight." "This should mean things will return to normal by the end of the weekend," she added. The national average cost for a gallon of gas stood at $3.028 on Thursday, up from $2.941 one week ago, according to data from AAA. The pipeline's shutdown sparked fears of gasoline shortages in the Southeast, prompting consumers to rush to the pump. In turn, this caused widespread outages and drove prices higher. Gas prices in Georgia have jumped 25 cents in the last week, 19 cents in South Carolina, 17 cents in North Carolina and 16 cents in Virginia. While the pipeline gets back up and running, gas outages continue to hit the Southeast. More than half of stations across South Carolina, North Carolina and Virginia are without fuel, according to the latest data from GasBuddy. As long lines formed at pumps, officials urged consumers not to fill up unnecessarily. "Please don't buy gas unless you're low, and report any cases of price gouging," North Carolina Governor Roy Cooper said in a tweet. As the pipeline shutdown stretched on, the Department of Transportation and Environmental Protection Agency waived certain requirements around fuel transportation and fuel blend in order to ease shortage concerns. Additionally, on Thursday the White House said it had temporarily waived the Jones Act for one company. The Jones Act mandates that goods transported between U.S. ports must be on U.S.-flagged ships.

Gas shortages worsen as fuel prices spike after Colonial Pipeline ransomware attack - Motorists alarmed by rising gasoline prices and fears of supplies running low are flocking to gas stations in the Southeast as the impact of a ransomware attack that crippled the country's biggest fuel pipeline ripples across the region. Relief, however, is on its way, with Colonial Pipeline saying gasoline is being shipped to nearly all of its markets. Fuel should be flowing again as the company restarts operations in a process expected to take several days to a week for a full return to normal, easing the supply strain that's particularly acute in southern Virginia, the Carolinas, Georgia and Tennessee. President Joe Biden offered assurances that Americans would soon see the long lines for gas lessening as the pipeline company started its recovery from a cyberattack that forced its systems offline last week. "They should be reaching full operational capacity as we speak, as I speak to you right now. That is good news," the president said on Thursday. "But I want to be clear. You will not feel the affects at the pump immediately. This is not like flicking on a light switch, said Mr. Biden, who noted there are 5,000 miles of pipeline to bring back into commission. Mr. Biden also urged Americans not to panic and gas stations to refrain from price gouging. He declined to comment on a report from Bloomberg that Colonial Pipeline paid hackers a $5 million ransom.

Biden implores drivers 'don't panic' as Colonial Pipeline ramps up deliveries - President Joe Biden urged drivers on Thursday to stop hoarding gasoline, calling for patience as the Colonial Pipeline returned to full operation, delivering fuel to states along the Atlantic Coast after the cyberattack that froze its shipments for five days.Biden sought to calm drivers' nerves amid expectations that fuel supplies will remain tight for up to two weeks in the Southeastern states where pumps had run dry amid panic buying after ransomware infiltrated the computers of the pipeline company that operates the 5,500-mile line that runs from Houston to New Jersey."This is not like flicking on a light switch ... It's going to take some time," Biden said. “Don’t panic ... I know seeing lines at the pumps or gas stations with no gas can be extremely stressful. But this is a temporary situation. Do not get more gas than you need in the next few days."The Biden administration has scrambled over the past several days to ease rules to help speed the movement of fuel to areas seeing the surge in demand as drivers lined up at gas stations that eventually caused massive fuel shortages, with some states seeing as many as three-quarters of their gas stations running dry. Colonial said Thursday afternoon that the entire pipeline was now operating after having restarted it in segments the day before. Among the moves have been measures to ease highway restrictions on trucks, lifting limits on tanker truck drivers' hours, and waiving pollution rules for summer-grade gasoline. Those efforts, Biden said, had helped "fill the tanks of 5 million vehicles in the last few days."

 Pipeline outage forces American Airlines to add stops to some long-haul flights - U.S. airlines and airports are scrambling to get fuel days after a cyberattack shut down the country's largest refined fuel-products pipeline, including flying planes with extra supplies and adding refueling stops on long-haul flights. Colonial Pipeline Co., which operates the more than 5,500-mile pipeline from Houston to Linden, New Jersey, hopes to restore operational service by the end of the week but said the process would be gradual. The pipeline directly services seven airports, according to the company. Hartsfield-Jackson Atlanta International Airport, the busiest for Delta Air Lines, said it is looking at other suppliers of fuel but that operations haven't been affected. "Hartsfield-Jackson and its airline partners are in close communications with fuel suppliers and are taking steps to mitigate any impact the Colonial incident might have," a spokeswoman said in a statement. "Currently, ATL is coordinating with additional suppliers to augment the airport's fuel inventory." Delta, which operates its own oil refinery in Trainer, Pennsylvania, declined to comment on the pipeline outage. American Airlines is adding stops to two long-haul flights to conserve fuel at its second-busiest hub. American Airlines said in a statement that the effect of the outage on its operation has been minor. It said Monday it will add stops for two long flights out of Charlotte Douglas Airport. A nonstop to Honolulu will stop at Dallas-Fort Worth International where fuel supplies haven't been disrupted. Customers will change planes there to a Boeing 777-300 to continue on to Hawaii. A Charlotte-London flight will stop in Boston for additional fuel. The changes are effective until at least Friday. Southwest Airlines is flying planes with additional fuel into airports including Nashville International Airport "to supplement the local supply." Airlines can load more fuel on planes than generally needed to avoid or reduce ground refueling. "We're happy to report that there has been no impact to Southwest's flight operations," a spokesman said. American is also considering trucking or tankering fuel into airports affected by the shortage, according to a person familiar with the matter. United Airlines said it is working with airports "to understand the impact and our operations are not impacted at this time." Analysts have said the impact on supplies of jet fuel and other refined products like gasoline depends on how long the outage lasts, particularly as Memorial Day weekend approaches. "We can draw inventory for probably a week and that's when the problem would then become acute,"

New York jet fuel gets pricier as Colonial Pipeline outage continues -- Jet fuel prices have surged nationwide, especially in the New York City area, due to the Colonial Pipeline cyberattack outage, which ended Wednesday afternoon. Colonial Pipeline said it resumed operations around 5 p.m. but that the system would not be fully functional immediately. The premium on jet fuel prices in New York Harbor was nearly $1.87 a gallon on Tuesday, close to 9 cents more than the U.S. Gulf Coast price, the largest premium since February 2020 and almost 40% more than a week ago, according to S&P Global Platts. Several airlines, including Delta Air Lines, United Airlines and JetBlue Airways, said their operations haven't been affected. Two airlines, however, have made adjustments. American Airlines added temporary refueling stops this week until Thursday to two long-haul flights out of Charlotte, North Carolina. Southwest Airlines is flying planes with extra fuel into Nashville International Airport and others, a measure known as tankering that carriers turn to during times of supply shortages, such as after hurricanes. Airlines and airports this week said they were looking at alternative methods of obtaining fuel beyond the Colonial Pipeline, the country's largest refined fuel products pipeline. The company shut down all pipeline operations after it was hit by a cybersecurity attack involving ransomware on Friday. "Since notification of the pipeline's temporary shutdown, BWI Thurgood Marshall Airport has worked with airline partners and fueling companies to put alternate fueling measures in place," a spokesman for the Baltimore airport told CNBC. "We continue to monitor the situation, and will adjust plans as needed until the pipeline is back online." The Port Authority of New York and New Jersey, which oversees the major airports serving the New York City area, said it is "not experiencing any immediate impacts from the Colonial Pipeline shutdown." "We are continuing to closely monitor the situation and remain in regular contact with gasoline and diesel fuel suppliers for the Port Authority vehicle fleet and with the airlines and other airport stakeholders about jet fuel supply," a spokeswoman said. Jet fuel for the Gulf Coast, an industry benchmark, on Tuesday hit $1.78 a gallon, the highest since January 2020. Prices have climbed by 33% this year as more customers return to air travel. The higher prices for fuel, generally airlines' largest cost after labor, comes just as more customers are expected to fly during the peak summer travel months.

LA Area Port Traffic: Strong Imports in April - Note: Import traffic was heavy in February and March - ships were backed up waiting to unload in LA. "some vessels are spending almost as much time at anchor as it takes to traverse the Pacific Ocean." They were still backed up in April!Container traffic gives us an idea about the volume of goods being exported and imported - and usually some hints about the trade report since LA area ports handle about 40% of the nation's container port traffic.The following graphs are for inbound and outbound traffic at the ports of Los Angeles and Long Beach in TEUs (TEUs: 20-foot equivalent units or 20-foot-long cargo container).To remove the strong seasonal component for inbound traffic, the first graph shows the rolling 12 month average. On a rolling 12 month basis, inbound traffic was up 2.4% in April compared to the rolling 12 months ending in March.   Outbound traffic was up 0.2% compared to the rolling 12 months ending the previous month. The 2nd graph is the monthly data (with a strong seasonal pattern for imports).Usually imports peak in the July to October period as retailers import goods for the Christmas holiday, and then decline sharply and bottom in February or March depending on the timing of the Chinese New Year. 2021 has started off incredibly strong for imports. Imports were up 37% YoY in April (collapsed last year due to pandemic), and exports were up 2.5% YoY.

Industrial Production Increased 0.7 Percent in April -- From the Fed: Industrial Production and Capacity Utilization: Total industrial production increased 0.7 percent in April. The indexes for mining and utilities increased 0.7 percent and 2.6 percent, respectively; the index for manufacturing rose 0.4 percent despite a drop in motor vehicle assemblies that principally resulted from shortages of semiconductors. An important contributor to the gain in factory output was the return to operation of plants that were damaged by February's severe weather in the south central region of the country and had remained offline in March. The weather-induced drop in total industrial production in February and the subsequent rebound in March are now estimated to have been larger than reported last month. At 106.3 percent of its 2012 average in April, total industrial production has moved up 16.5 percent from its level in April 2020 (the trough of the pandemic), but it was 2.7 percent below its pre-pandemic (February 2020) level. Capacity utilization for the industrial sector rose 0.5 percentage point in April to 74.9 percent, a rate that is 4.7 percentage points below its long-run (1972–2020) average. This graph shows Capacity Utilization. This series is up from the record low set in April, but still below the level in February 2020.Capacity utilization at 74.9% is 4.7% below the average from 1972 to 2020.   The second graph shows industrial production since 1967.Industrial production increased in April to  106.3. This is 2.7% below the February 2020 level. The change in industrial production was below consensus expectations.

 Weekly Initial Unemployment Claims decrease to 473,000 - The DOL reported: In the week ending May 8, the advance figure for seasonally adjusted initial claims was 473,000, a decrease of 34,000 from the previous week's revised level. This is the lowest level for initial claims since March 14, 2020 when it was 256,000. The previous week's level was revised up by 9,000 from 498,000 to 507,000. The 4-week moving average was 534,000, a decrease of 28,250 from the previous week's revised average. This is the lowest level for this average since March 14, 2020 when it was 225,500. The previous week's average was revised up by 2,250 from 560,000 to 562,250.This does not include the 103,571 initial claims for Pandemic Unemployment Assistance (PUA) that was up from 101,815 the previous week. The following graph shows the 4-week moving average of weekly claims since 1971.The dashed line on the graph is the current 4-week average. The four-week average of weekly unemployment claims decreased to 534,000.The previous week was revised up.Regular state continued claims decreased to 3,655,000 (SA) from 3,700,000 (SA) the previous week.Note: There are an additional 7,283,703 receiving Pandemic Unemployment Assistance (PUA) that increased from 6,863,451 the previous week (there are questions about these numbers). This is a special program for business owners, self-employed, independent contractors or gig workers not receiving other unemployment insurance.  And an additional 5,265,193 receiving Pandemic Emergency Unemployment Compensation (PEUC) up from 4,973,804.Weekly claims were close to the consensus forecast.

BLS: Job Openings Increased to Record 8.1 Million in March -- From the BLS: Job Openings and Labor Turnover Summary: The number of job openings reached a series high of 8.1 million on the last business day of March, the U.S. Bureau of Labor Statistics reported today. Hires were little changed at 6.0 million. Total separations were little changed at 5.3 million. Within separations, the quits rate was unchanged at 2.4 percent while the layoffs and discharges rate decreased to a series low of 1.0 percent.The following graph shows job openings (yellow line), hires (dark blue), Layoff, Discharges and other (red column), and Quits (light blue column) from the JOLTS. This series started in December 2000.Note: The difference between JOLTS hires and separations is similar to the CES (payroll survey) net jobs headline numbers. This report is for March, the most recent employment report was for April. Note that hires (dark blue) and total separations (red and light blue columns stacked) are usually pretty close each month. This is a measure of labor market turnover.  When the blue line is above the two stacked columns, the economy is adding net jobs - when it is below the columns, the economy is losing jobs.The huge spikes in layoffs and discharges in March and April 2020 are labeled, but off the chart to better show the usual data.Jobs openings increased in March to 8.123 million from 7.526 million in February.  This is above the previous series maximum of 7.574 million.The number of job openings (yellow) were up 40.8% year-over-year. This is a comparison to the beginning of the pandemic.Quits were up 20.9% year-over-year. These are voluntary separations. (see light blue columns at bottom of graph for trend for "quits").

Job openings surged in March as the economy continues to recover from the pandemic --EPI Blog by Elise Gould - Today’s Job Openings and Labor Turnover Survey (JOLTS) reports an all-time high number of job openings, surging to 8.1 million for the end of March. This is a positive sign that the economy is moving forward. While hires were little changed, I’m optimistic that in coming months those job openings will translate into filled jobs. One important indicator from today’s report is the job seekers ratio—the ratio of unemployed workers (averaged for mid-March and mid-April) to job openings (at the end of March). On average, there were 9.8 million unemployed workers compared with 8.1 million job openings. This translates into a job seekers ratio of 1.2 unemployed workers to every job opening. Put another way, for every 12 workers who were officially counted as unemployed, there were only available jobs for 10 of them. That means, no matter what they did, there were no jobs for 1.6 million unemployed workers. As with job losses, workers in certain industries are facing a steeper uphill battle. In the construction industry as well as arts, entertainment, and recreation, there were more than two unemployed workers per job opening. In educational services, accommodation and food services, other services, and transportation and utilities, there were more than three unemployed workers for every two job openings There has been much bemoaning of labor shortages, particularly within accommodations and food services, even though there are no available jobs for one-third of the job seekers in that sector. Any potential shortage from the recent surge in job openings is likely to be quite short-lived, as before long many more workers will come back into job-search as it becomes increasingly safe to pursue these public facing jobs with improving public health metrics, as childcare and schooling becomes more reliable, and as wages rise to compensate for the extra risk of working in face-to-face places during the lingering pandemic. And, as we saw in the April employment data last Friday, the labor market added 241,400 more jobs in accommodation and food services, so the trend is already moving in the right direction.

March JOLTS report confirms that month’s strong jobs report --This morning’s JOLTS report for March confirmed that month’s stellar jobs report. Job openings made a new series high, while layoffs and discharges made a new series low. Hires, quits, and total separations all also moved in the right direction.  This report has only a 20 year history, and so includes only two prior recoveries. In those recoveries:

• first, layoffs declined
• second, hiring rose
• third, job openings rose and voluntary quits increased, close to simultaneously

The recovery from the worst of the pandemic almost one year ago at first followed this script, but the winter surge, which led to a few month of flat, or worse, jobs reports, disrupted that trend. We now appear to have reverted to that prior trend. Let’s start out with layoffs and discharges (red) and total separations (blue), showing that these have followed their past patterns, as layoffs rapidly declined to a normal rate after last March and April. As noted above, this month’s report made a new series low: Next, here is the series-long record of hiring, quits, and job openings: Here is the zoom-in look at the past several years: What has been different this time around is that, after rapidly improving, hires declined again until bottoming in December and January. All three are now moving in the right direction. In the past few months, I have also highlighted YoY changes, but that view is useless now, as comparisons are with the worst of the March and April 2020 lockdowns. Last month I flagged the issue of whether “hires reassert themselves, as in the past two recoveries, or whether openings without actual hiring continue to soar as they did starting in 2015.” In March both happened, as hires increased and openings made an all-time high. Given the relatively subpar April employment report, the jury is still out on whether hires will continue to increase - as that appears to be the missing link in this jobs recovery.

 Retail and food service industry complains of lack of workers - The US retail and food service industry is dealing with a severe labor shortage. According to Landed, a restaurant hiring app, the industry faces a deficit of 3.4 million jobs, a number which is expected to grow. One poll found more than 31 percent of restaurant company leaders have been forced to close stores because of a lack of workers. An additional 44 percent of respondents stated they were still considering whether to close. Retail CEOs and Republican politicians have argued that the $300 weekly federal unemployment benefits supplement incentivizes workers to stay at home instead of returning to work. Earlier this month, Representative David Rouzer tweeted a picture of a Hardee’s drive thru with a sign that read “Closed due to NO STAFF.” “This is what happens when you extend unemployment benefits for too long and add a $1,400 stimulus payment to it. Right when employers need workers to fully open back up, few can be found,” Rouzer tweeted. Some McDonald’s franchisees said the additional $300 per week unemployment payments were driving the shortage. The National Owners Association, an independent group of McDonald’s franchisees, sent a letter to its members on Sunday that suggested the industry worker shortage was due to the “perverse effects of the current unemployment benefits.” “What’s going on here? When people can make more staying at home than going to work, they will stay at home,” the letter said. In a bid to force workers back to work, multiple Republican governors announced they will stop participating in the federal government’s supplemental unemployment benefits program in June. Iowa Governor Kim Reynolds (R) announced Tuesday that residents will no longer receive the extra $300 a week after June 12. North Dakota, Mississippi, Alabama, Arkansas, South Carolina, and Montana have also announced an end to their participation. Others have called for an early termination of unemployment benefits, currently set to continue until September. After the publication of the April jobs report, which reported only 266,000 new jobs compared to the 1.3 million predicted by economists, the Chamber of Commerce urged Congress to end the weekly $300 in federal unemployment benefits. “The disappointing jobs report makes it clear that paying people not to work is dampening what should be a stronger jobs market,” the Chamber’s chief policy officer, Neil Bradley, said in a statement.

Restaurant labor shortages show little sign of going economywide: Policymakers must not rein in stimulus or unemployment benefits - EPI Blog by Josh Bivens, Heidi Shierholz - Recent economic data suggest labor shortages in leisure and hospitality have popped up—but there is little reason to worry about spillover into the rest of the economy and no reason to change policy course. Yes, last week’s jobs report was disappointing, with employment growth slowing significantly from the months before. It would be a mistake, however, to make too much of a single month’s data—the monthly jobs report data are notoriously volatile, and there are still excellent reasons to believe that coming months will see very strong job gains. Further, as disappointing as last week’s report was, there is nothing in it that demands a reorientation of the general policy stance taken by the federal government. The relief and recovery aid already passed (including the boosts to unemployment insurance) should be continued and proposed packages (like the American Families Plan and the American Jobs Plan) should be passed. The argument that last week’s report demands a rethink of today’s policy orientation rests on claims that it contained clear evidence of damaging labor shortages induced by either too-extensive stimulus or too-generous unemployment insurance (UI). There is not compelling evidence of either of these. In fact, nothing in last week’s jobs report calls for a wholesale change of policy course from the federal government. The key takeaways from the data are:

• 1) Labor shortages—which we would define by a large acceleration of wage growth to a rate that would be hard to sustain over the next year—do seem to have popped up in the leisure and hospitality sector. But unless this dynamic threatens to spill over into other sectors or reduce growth within the leisure and hospitality sector enough to change aggregate trends, a short-term sectoral labor shortage does not come close to being sufficient justification for changing national policy priorities.
• 2) There is very little reason to worry that labor shortages in leisure and hospitality will soon spill over into other sectors and drive economywide “overheating.”
  • The leisure and hospitality labor market is highly segmented off from other sectors, and wage pressures—upward or downward—have typically not spilled over from it to other sectors.
  • For example, jobs in leisure and hospitality have notably low wages and fewer hours compared to other sectors. Weekly wages of production and nonsupervisory workers in leisure and hospitality now equate to annual earnings of just $20,628, and total wages in leisure and hospitality account for just 4% of total private wages in the U.S. economy. All of these facts make it highly unlikely to meaningfully change the wage trajectory of other sectors.
• 3) The labor shortages in leisure and hospitality so far do not seem to be dragging sharply on growth even within this sector—the sub-sectors within leisure and hospitality saw by far the most rapid employment growth in the last month.
• 4) Any signs that the more-generous UI benefits included as part of the American Rescue Plan (ARP) are driving wages higher in this sector are very faint—far too faint to justify a scaling back of these benefits or to justify state-level policymakers depriving their own workers of a needed boost to the safety net. For example:
• Low-wage sectors—where UI benefits should be a more binding constraint on labor supply—saw notably faster job growth than others.
• Evidence strongly suggests that continued caregiving responsibilities are impinging on the labor supply of women and constitute the primary labor supply bottleneck. Cutting back on pandemic UI provisions will not increase the labor supply of those who cannot work because of COVID-related caregiving responsibilities.

Amazon drivers are being told to turn off their safety apps in order to hit delivery quotas, report says - Some of Amazon's contracted delivery companies have been telling drivers to switch off its safety app, Vice reported.The app, called Mentor, monitors their driving and assigns a safety score that ties into bonuses.Drivers said they're being told to turn it off because driving safely doesn't square with their quotas.See more stories on Insider's business page. Amazon drivers are being told to turn off a mandatory safety app in order to hit their quotas, according to a new report from Vice. Vice obtained texts sent to drivers by Delivery Service Partners (DSPs) — companies which are contracted by Amazon to carry out its delivery operations. The texts told drivers to switch off the app Amazon uses to monitor safety, called "Mentor." One DSP in Detroit told a driver to sign out of the app less than five hours into a ten-hour shift. An Atlanta-based company told drivers they should only log onto Mentor for "at least 2 hours - no more, no less." Current and former Amazon drivers told Vice this is because it's impossible to fulfil their quotas while adhering to the app's safety rules on things like speeding. Mentor gives drivers a rating of how safe their driving is, and this score feeds into a bonus system. Amazon awards bonuses to DSPs based on how well they deliver their packages, plus incentives for the number of packages delivered, but the DSPs only qualify for bonuses if they hit an averaged target safety score on Mentor. "It's really a Catch-22 situation," a former Amazon driver from Buffalo, New York told Vice. "Either you turn the app off so you can deliver faster, or you leave it on and deliver slower and don't get your bonuses," she added. In a personal essay for Insider, an Amazon driver said Mentor gives a maximum score of 850. They said two years ago, drivers were expected to hit an average of around 550. But now, that has gone up to 700. They added if a driver's safety scores start to suffer, they're told to log in at the beginning of their shift, then hand their phone over to another driver that tends to get good scores.

 Some Amazon managers say they 'hire to fire' people just to meet the internal turnover goal every year - Some Amazon managers say they hire people they intend to fire, just to meet their annual turnover goal.The practice is internally called "hire to fire," according to three Amazon managers.Amazon employees say the current performance review system gives managers too much power over their careers.See more stories on Insider's business page.Amazon has a goal to get rid of a certain percentage of employees every year, and three managers told Insider they feel so much pressure to meet the goal that they hire people to fire them. "We might hire people that we know we're going to fire, just to protect the rest of the team," one manager told Insider.  The practice is informally called "hire to fire," in which managers hire people, internally or externally, they intend to fire within a year just to help meet their annual turnover target, called unregretted attrition (URA). A manager's URA target is the percentage of employees it wouldn't regret seeing leave, one way or the other. In a statement to Insider, Amazon's spokesperson denied that the company hires employees with the intention of firing them, and says that it does not use the phrase "hire-to-fire." But the existence of the practice in at least some parts of the company shows how Amazon's system of requiring managers to hit a target attrition goal every year can foster controversial norms and practices. The most senior executives at Amazon, including incoming CEO Andy Jassy, closely track their URA goals, according to internal documents obtained by Insider. Jassy, for example, is expected to replace 6% of his division through "unregretted" departures on what appears to be an annual basis.  Managers are pressured to hit these targets one way or another. According to a memo previously reported by Insider, Amazon Web Services teams that fell short of URA goals in 2020 were required to make up the difference in 2021. In other words, if a particular team had an attrition of 3% one year, but a URA goal of 5%, it would have to get rid of 7% of employees the following year. The document did not address teams that exceeded attrition goals.

California’s population drops for the first time in its history, according to new state data - — California's population shrank last year, the first time in its 171-year history that the nation's most-populous state has seen a decline in the number of people living here. The state Department of Finance reported Friday that the population dropped by 182,083 people, or 0.46 percent, between Jan. 1, 2020, and the end of the year. The agency attributed the decline to out-of-state migration, slower international immigration and the coronavirus pandemic, which has killed nearly 61,000 residents at a time when the state is recording among the lowest birthrates in the nation. The numbers serve as a kind of postscript to data released last month by the U.S. Census Bureau, which showed that California grew 6.1 percent over the last decade. The growth rate, lower than the national average, will cost the state one of its 53 congressional seats during reapportionment, another state first. “Driven largely by a declining birthrate, the state’s population growth slowed in recent years and essentially hit a plateau,” said H.D. Palmer, the Department of Finance’s deputy director and chief spokesperson. “What’s temporarily tipped us into negative territory over the past year is deaths caused by covid, combined with the impact of immigration policy.” California has been a national and international destination for much of the last half-century. After decades of double-digit population increases, the state’s growth rate peaked at 37 percent after the 1990 Census. The state’s population growth has ebbed and flowed since then. The trends mostly have been driven by economic factors, from the exodus that followed the post-Cold War contraction of the defense and aerospace industry to the magnetic pull of the early dot-com era.But growth has slowed significantly over the last decade, particularly in recent years. High housing costs have been the catalyst for a massive in-state migration of residents heading east in search of a lower cost of living away from the expensive Pacific Coast.The new state figures add detail and depth to several trends that the census did not fully capture since the national count ended in April 2020.

California scores staggering $75B budget surplus--California’s budget is in the black — by a staggering amount. A state that expected perhaps the most severe budget crunch in American history instead has a more than $75 billion budget surplus, Gov. Gavin Newsom (D) said Monday, after a booming stock market and better-than-anticipated tax revenues over the pandemic-plagued year. As recently as a year ago, California’s top elected officials were staring into a budgetary abyss that made the Great Recession look like a pothole. Newsom’s office projected a budget deficit of up to $54 billion, or about a quarter of the entire state budget. Legislators prepared to cut state government to the bone. “We were scared, all of us,” state Assemblyman Chad Mayes (I) told The Hill last month. “We all agreed, 'Hey, we’re going to take a hit because we’re heavily dependent on high-income earners.'” But the stock market’s rebound, and its yearlong rally, have helped repair the gap. California is unusually reliant on receipts from capital gains tax, so a strong year in the market is good news for state government. Initial public offerings from companies like DoorDash and Airbnb helped, while sales tax revenues also came in in greater amounts than expected. Newsom said in an address Monday that he would propose using much of the money to fund what he said would be the biggest economic recovery package in state history. Newsom’s $100 billion proposal would add $12 billion more in direct payments to California residents, including $600 to most people and an extra $500 to families with dependents. The payments would go to families making less than $75,000 a year. “California’s recovery is well underway, but we can’t be satisfied with simply going back to the way things were,” Newsom said in a statement. His office called the payments the largest tax rebate any state has ever given. The package also includes what Newsom said would be a major assistance package aimed at helping renters cover 100 percent of their past-due rent.

Poll: Nearly 50 Percent of Americans Think Some Social Distancing Measures Permanent -Sixty-four percent of Americans believe their local governments will loosen COVID restrictions within the next three months, while nearly 50 percent think some social distancing measures will remain permanent, according to a recent study by Signs.com. Just 8 percent believe that social distancing measures will never stop, while 79.1 percent think mask wearing will remain in place the longest. COVID measures have been in place in some capacity since March, when the pandemic hit the U.S. hard. Many cities and states have relaxed some restrictions, while other communities remain strict inlcuding in Seattle, Wa., where Gov. Jay Inslee is considering a rollback in his reopening plan in several counties, including King County, where cases of coronavirus have plateaued after rising steeply over the past month.The survey, published Friday, also found:

• 45.4 percent of respondents disliked the "new normal" of social interactions during COVID-19
• 43.1 percent believe the world would go back to normal, just as it used to be 
• 41.3 percent thought that some social distancing measures would remain permanently, even after the pandemic ends
• 57.6 percent said they are uncomfortable visiting the gym, while 54.4 percent said the same about restaurants and 45.2 percent said the same about hospitals. 
• 72.6 percent said they felt most comfortable going to places like parks (72.6 percent), grocery stores (59 percent) and pharmacies (57.9 percent) in person. 
• 54.8 percent listed one-way aisles in stores as the most annoying social distancing measure
• 22.9 percent confirmed they were following social distancing rules more strictly now than at the beginning of the pandemic compared with 27.7 percent who had decreased their efforts in following the previously adopted practices.

Signs.com surveyed 1,009 people aged 19 to 81. The study has a margin of error of +/- 3 percent.

Sources: At least five New York Yankees coaches test positive for COVID-19 -At least five coaches for the New York Yankees have tested positive for COVID-19, sources familiar with the situation told ESPN on Tuesday. According to the outlet, the team has confirmed that third-base coach Phil Nevin tested positive for the virus. Manager Aaron Boone said that other coaches have not yet been confirmed. Nevin, who has been fully-vaccinated against the coronavirus, is reportedly following Major League Baseball's quarantine protocol in Tampa, Fla. The Yankees are set to play the Rays in Tampa on Tuesday at 7 p.m. Boone told ESPN that the game is still scheduled to go on. Major League Baseball rolled back its coronavirus restrictions for vaccinated players and staff in March, lifting mandates for masks to be worn in dugouts, bullpens, or weight rooms. It also began allowing vaccinated players to go without masks when they are around with other fully vaccinated individuals in hotel rooms. Last week, the Yankees announced that they would open their stadium as a vaccination site for fans before games. They also promoted free tickets to attend the game if fans choose to get vaccinated.

Homeless Reflect on Life in a New York City Hotel Room, One Year Later -Since last April, thousands of homeless New Yorkers in the city’s shelter system have been staying in formerly private hotels — a need brought on by the pandemic.Mayor Bill de Blasio has set July 1 as the day the city is expected to fully reopen amid rising vaccination rates and decreasing infections. That’s also the day the city has suggested it will complete its transition of people from hotels back to the homeless shelter system, where people were 61% more likely to die of COVIDthan anywhere else at the height of the pandemic last spring. Yves here. These examples illustrate what a difference having a space, as opposed to living on the streets or in shelter, make to the homeless. With so much underutilized hotel and residential space, it’s a shame programs like this are being terminated because Covid is supposedly in retreat. The fact that American cities don’t even have public restrooms (much the less keeping them minimally clean as quite a few world cities seem able to do) is another manifestation of our hostility to the poor and outsiders.By contrast, this story describes what a powerful impact having one’s own bed, shower and toilet had made for these recently homeless New Yorkers. Having that small measure of control over their lives has enabled them to move forward on other fronts when before, merely surviving was a full time project. It also counters the old view of the early 2000s, as cited by Malcolm Gladwell, that the chronically and episodically homeless consisted of at least occasional substance abusers. Now, unaffordable housing is a significant contributor. From the National Low Income Housing Coalition: Record-breaking numbers of families cannot afford a decent place to call home:

• Nationally, there is a shortage of more than 7 million affordable homes for our nation’s 11 million plus extremely low-income families. View The Gap
• There is no state or county where a renter working full-time at minimum wage can afford a two-bedroom apartment. View the Out of Reach Map
• Seventy-five percent of all extremely low-income families are severely cost-burdened, paying more than half their income on rent.

750 bodies of New Yorkers who died from COVID-19 last year still held in refrigerated trucks in Brooklyn - Last year, when the disease was running rampant in New York City, thousands of victims were placed in temporary storage when the medical and funerary systems were overwhelmed. Approximately 32,800 New Yorkers are recorded as having died of COVID-19 in the city since last March, though this is likely a significant undercount. Many families were unable to cope financially and emotionally with the burden of putting their relatives to rest, not to speak of the destitute and homeless who were dying in large numbers. News accounts reported cases of funeral homes storing bodies in unrefrigerated trucks in the street. While the intensity of the pandemic has somewhat abated in New York, for the moment, the legacy of mass deaths remains. The bodies of hundreds of COVID-19 victims who died during the height of the pandemic last year, when more than 800 New Yorkers were dying every day from the virus, remain “temporarily” stored by the city in refrigerated trucks at a site on the Brooklyn waterfront. At its height, up to 2,000 bodies were held there. Currently, approximately 750 bodies are still being kept at this location. Many of the victims’ families have requested that they be buried on Hart Island, the city’s cemetery for the poor and unclaimed dead. The city has lost touch with others, some of whom may themselves have also died of the disease. Many families are likely to have been overwhelmed by the price of a funeral, which typically runs into the multiple thousands of dollars, while suffering economic devastation due to the pandemic. The city provides a burial subsidy of only $1,700, up from $900 prior to the pandemic. Even this puts the cost of a funeral out of reach for many of the city’s working class. FEMA now offers a grant of up to $9,000 for funeral expenses to families who have lost someone to the disease and have so far received over 17,000 applications nationwide. But there is a complicated application process, which includes the requirement for a death certificate that specifically cites COVID-19 as the cause of death—given the undercount of deaths this will exclude many in need—and excludes applicants who are not US citizens or legal residents, which bars a significant portion of workers in the city. Others resist having their loved ones buried on Hart Island, due to its perceived stigma as a “paupers cemetery.” In the past, convict labor had been used to bury the dead on Hart Island. At the height of the pandemic, the city switched to the use of a private contractor to conduct the interments.

 Prosecutor says Black driver who was handcuffed, arrested should not have been stopped  - A Black employee with the Department of Defense who was pulled over, handcuffed and arrested on charges of reckless driving, resisting arrest and eluding police should never have been stopped in the first place, a Virginia commonwealth's attorney says.The Washington Post reported Monday that Fairfax Commonwealth’s Attorney Steve Descano dismissed all counts previously faced by Juanisha Brooks after she was pulled over by a Virginia State Police officer in early March.During the incident, dashcam footage showed Trooper Robert Hindenlang refusing to tell Brooks why he initially pulled her over, apparently for a broken taillight, before eventually dragging her out of the vehicle and demanding she take a field sobriety test after she admitted to having one alcoholic beverage.Brooks was arrested and charged with several counts, though she was breathalyzed at the police station and blew a 0.0 reading, according to the Post. Her car was also towed and impounded.Brooks told the Post that she was treated with a total lack of empathy or respect from Hindenlang, who gave her only a small Post-it note with the name of the tow lot to which her car had been towed.She was only able to reach her car after a magistrate at a local courthouse offered her a ride to the Metro station, where she waited for hours for the station to open and for a train to take her near the impound lot. Brooks eventually arrived home 10 hours after the stop.“Would he have done that to a White woman? No,” Brooks told the Post. “He didn’t see me as a human being. ... This has to stop. It’s racism at its core, and it should be seen as such.”

Man who served 42 years in prison for triple murder is innocent, prosecutor says --“All those who have reviewed the evidence in recent months agree — Kevin Strickland deserves to be exonerated,” officials say. A Missouri prosecutor released a statement on Monday proclaiming that a man who has been in prison for more than 42 years is innocent. “All those who have reviewed the evidence in recent months agree — Kevin Strickland deserves to be exonerated,” said Jackson County Prosecutor Jean Peters Baker. “This is a profound error we must correct now.” The prosecutor is joining the Midwest Innocence Project to work to have Strickland freed from Western Missouri Correctional Center in Cameron. According to his official statement, Baker will join Strickland’s attorneys to advocate for his immediate release. A petition has been filed on the man’s behalf with the Missouri Supreme Court. An amicus brief notes that upon review, Strickland’s 1978 prosecution relied greatly on the testimony of one woman. That witness died in 2015, but prosecutors note that for years, she wished and attempted to recant her testimony. “Keeping him incarcerated now on a jury verdict, where the jury heard none of this convincing exculpatory evidence, serves no conceivably just purpose,” Baker and Chief Deputy Daniel M. Nelson stated in a joint letter to Strickland’s attorneys. A letter to the court notes that the now-deceased witness, Cynthia Douglas, was traumatized after witnessing the triple murder and was also shot on that fateful day. She said she only identified Strickland after he was suggested as a suspect by someone else.

Bipartisan attorneys general urge Facebook to scrap planned Instagram for kids - A bipartisan group of 45 attorneys general are urging Facebook to abandon plans to launch an Instagram for kids platform, citing concerns about children’s mental health and data privacy risks. "It appears that Facebook is not responding to a need, but instead creating one, as this platform appeals primarily to children who otherwise do not or would not have an Instagram account. In short, an Instagram platform for young children is harmful for myriad reasons. The attorneys general urge Facebook to abandon its plans to launch this new platform," the National Association of Attorneys General wrote in a letter Monday to Facebook. Facebook’s plans about creating a version of Instagram for children under the age of 13 were first reported by BuzzFeed News in March, and the company has faced pushback from advocacy groups and lawmakers since. A Facebook company spokesperson said the company will consult with "experts in child development, child safety and mental health, and privacy advocates" as Facebook continues to explore a version of Instagram for kids. “As every parent knows, kids are already online. We want to improve this situation by delivering experiences that give parents visibility and control over what their kids are doing,” the spokesperson said in a statement. “We also look forward to working with legislators and regulators, including the nation’s attorneys general,” the spokesperson added. The spokesperson also noted Facebook's commitment to not show any ads on any Instagram experience it develops for people under 13. The attorneys general highlighted research about detrimental mental health impacts of social media use on young users, and called out “alarming rates of cyberbullying” among children. The attorneys general also noted concerns that children “do not have a developed understanding of privacy.” “Specifically, they may not fully appreciate what content is appropriate for them to share with others, the permanency of content they post on an online platform, and who has access to what they share online. They are also simply too young to navigate the complexities of what they encounter online, including inappropriate content and online relationships where other users, including predators, can cloak their identities using the anonymity of the internet,” they wrote. The attorneys general are the latest in a line of officials to highlight concerns over the plan for the Instagram for kids plans. A group of Democrats in April pressed Facebook on the plans over the company’s “past failures” to protect kids on platforms aimed at youth users.

 School districts across Texas implement massive austerity and cuts to staff - Despite the allocation of roughly $11.2 billion in federal funds ostensibly to support public education, school districts across Texas are cutting staff and closing schools. Over the past year, tens of thousands of teachers were forced to quit or retire early after the state government aggressively pressured districts to reopen amid the raging COVID-19 pandemic. Across the state, huge numbers of these teaching positions are being left as unfilled vacancies, encompassing nearly all the major school districts. This mass attrition follows the expiration of the state’s hold on cutting school funding that was extended through 2020, following declines in attendance due to the pandemic. Schools in Texas adjust funding every school year based on daily attendance rates, meaning that even one day of absence impacts funding. This is compounded by virtual learning, which has been difficult for many students to access and consistently attend due to the deliberate sabotage of online education by the state and federal government. The spread of COVID-19 has caused many parents concerned with outbreaks at schools to pull their children from in-person learning, or switch to homeschooling or private online schools. In the Austin Independent School District (AISD), which has an enrollment of 74,000 students, a district survey indicated that 22 percent of students were learning in-person in November. As of April 19, an estimated 23.6 percent were attending in-person, with the state threatening to withdraw $5 million in “hold harmless” funding from the school if attendance was not raised to at least 44 percent in the last six weeks of the semester. In the 18 school districts in the Houston metro area, 250,000 students, roughly a third of the total enrollment, were not in person, while 475,000 were back in school as of March 31. One of the factors underlying the drop in attendance has to do with the measures that the hated Texas Education Agency (TEA) implemented in order to quantify attendance for K-12 schools. In the TEA’s “School Year 20-21 Attendance and Enrollment FAQ,” it states that remote attendance is measured by daily progress in the “Learning Management System… Daily progress via teacher-student interactions, as defined in the approved learning plan… [or] Completion/Turn-in of assignments from student to teacher (potentially via email, on-line, or mail).” Many teachers have had trouble reaching out to students in order to ascertain attendance, with a frequent occurrence being not hearing back from some students despite numerous and repeated attempts via email, online learning systems like Blackboard and Google Classrooms, or by phone. The task of logging attendance every single day for every single student has become a Sisyphean task.

 I Spent a Year and a Half at a ‘No-Excuses’ Charter School – This Is What I Saw - Charter schools are 30 years old as of 2021, and the contentious debate about their merits and place in American society continues.To better understand what happens at charter schools – and as a sociologist who focuses on education – I spent a year and a halfat a particular type of urban charter school that takes a “no-excuses” approach toward education. My research was conducted from 2012 through 2013, but these practices are still prevalent in charter schools today. The no-excuses model is one of the most celebrated and most controversial education reform models for raising student achievement among Black and Latino students. Charters, which are public schools of choice that are independently managed, show comparable achievement to traditional public schools, but no-excuses charters produce much stronger test-score gains. No-excuses schools have been heralded as examples of charter success and have received millions of dollars in foundation support. At the same time, no-excuses schools themselves have started to rethink their harsh disciplinary practices. Large charter networks like KIPP and Noble in recent years have acknowledged the wrongfulness of their disciplinary approaches and repudiated the no-excuses approach.Here are 10 of the most striking things that I observed at the no-excuses charter school where I spent 18 months.

JPMorgan, CVS, GM, Walgreens join corporate fight against laws targeting transgender kids -- The Biden administration on Monday announced that health care providers can't discriminate against transgender patients, reversing a Trump-era policy and wading into a partisan flashpoint as hundreds of Republican-backed billsrestricting the rights of LGBTQ individuals make their way through statehouses nationwide. As with a similar wave of state-level restrictive voting bills, corporate America has spoken out against the anti-LGBTQ measures. And like the fight against the voting measures, some companies have kept silent.Many of these laws target transgender youth, including by preventing them from playing on sports teams aligned with their gender identity or receiving gender-affirming medical treatment.Earlier this month, 95 companies — among them Apple (AAPL), Google (GOOG,GOOGL), Amazon (AMZN), American Airlines (AAL), Marriott (MAR), Nike (NKE), AT&T (T) and Pepsi (PEP) — voiced their opposition to the anti-LGBTQ bills in a letter written in partnership with the Human Rights Campaign. However, 37 of the Fortune 500’s top 50 companies did not sign.In response to outreach from Yahoo Finance, some of those 37 companies added their voices to the chorus opposed to the bills, including JPMorgan Chase (JPM), General Motors (GM), MetLife (MET), CVS Health (CVS), and Walgreens (WBA).But the remainder did not respond or declined to comment directly on the bills. That set of companies includes Walmart (WMT), Chevron (CVX), Target (TGT), Disney (DIS), and Exxon (XOM).Even as the Biden administration works to reverse the discriminatory behavior toward transgender individuals, anti-LGBTQ legislation is being introduced at a record clip across at least 33 states. According to the Human Rights Campaign, the largest lobbying group for LGBTQ rights in the U.S., this year has surpassed 2015 “as the worst year for anti-LGBTQ legislation in recent history."

Illinois extended unemployment benefits to school workers in the summer, and Minnesota should follow suit --For over a decade, EPI has documented the significant pay penalty that teachers in our country’s K-12 schools suffer as a result of woeful underinvestment in public education. But it is not just teachers who have been underappreciated: Many other school staff who are essential for providing high-quality, safe, and nurturing learning environments face considerable financial challenges as a result of their decision to serve in public schools. Paraprofessionals, classroom assistants, administrative assistants, custodians, food service workers, bus drivers, and other nonlicensed staff in schools typically receive low pay and inadequate hours during the school year, and no employment from school districts over the summer months—meaning a potential loss of 10 or 11 weeks of paid employment. In 2020, Illinois took an important step toward fixing this last issue, by making nonlicensed school staff eligible for unemployment insurance during the summer months. Illinois’s experience offers guidance for other states considering similar programs, like in Minnesota where a similar measure is currently under debate. We’ll discuss the Illinois experience later on, but first it’s useful to understand a little more about who nonlicensed school staff are and the pay they receive. Many nonlicensed school staff are paid very little. A 2018 study by the American Federation of Teachers showed there was not a single state in the country where the average wages of a classroom teaching assistant covered a basic family budget for a one-parent, one-child household. As shown in Figure A, workers in the most common nonlicensed education occupations1 are paid less than the typical U.S. worker, whose median wage is $19.38 nationally. Janitors and cleaners, child care workers, and food service workers who work in K-12 education are all typically paid less than $15 an hour. In addition to frequently low hourly rates of pay, many nonlicensed staff may only be on the clock for the hours that school is in session.2

 Oregon middle school teacher dies from COVID-19 within days of school reopening - A beloved sixth and seventh grade language arts teacher, Samantha Fox, 46, died from COVID-19 last Saturday, May 8, in Estacada, Oregon. She passed away one week after contracting the virus, with no underlying health conditions. She had taught in the district for 20 years and leaves behind her mother, husband and two teenage sons. Roger Clound, Samatha’s ex-husband, told local press, “You can’t go anywhere in Estacada without someone coming up to talk to her.” Fox’s death marks the first recorded death of a teacher by COVID-19 in Oregon. Other education workers in the state have also died from COVID-19, including a volunteer for the North Clackamas School District who died in December, and a Joseph Charter School bus driver who died in September. In recent weeks, case rates in Oregon and Washington have outpaced the national average. This comes in the aftermath of the March 5 issuance of an executive order by Democratic Governor Kate Brown demanding the reopening of schools, making Oregon one of the last states to resume in-person learning in the face of enormous opposition among educators. Estacada School District has tried to absolve itself from responsibility for Fox’s death, while the media has seized on the fact that she was unvaccinated when she contracted COVID-19. Fox’s last day teaching in-person was April 27. According to a spokeswoman for the district, 60 students have been told to quarantine. This number has been refuted by sources from within the school district, stating that by May 3 there are over 237 students in quarantine. In their attempt to cover up the spread of the disease, a district spokeswoman said there is “no evidence” of spread in any of the schools even though cases continue to rise, and almost 11 percent of the district’s students are under quarantine.

University of California system will no longer consider SAT, ACT scores in admissions process -  The University of California system on Friday announced in a legal settlement with students and advocacy groups that it will no longer consider SAT and ACT scores when reviewing applications for admission or scholarships. Under the settlement, the university has agreed that SAT or ACT scores sent along in admissions applications to any of the campuses in its system between fall 2021 and spring 2025 will not be viewed by admissions officials. The university in May 2020 had already agreed to phase out the consideration of SAT and ACT scores for students applying for admission in or after fall 2025. The decision makes the University of California, which has nine campuses across the state and a total of about 225,000 undergraduate students, one of the largest schools to cut ties with the standardized tests that for decades have been an essential component in college admissions. Friday’s settlement seemingly ends a prolonged legal dispute over the use of standardized tests. In a 2019 lawsuit, a coalition of students, advocacy groups and the Compton Unified School District argued that the tests place an unfair disadvantage on students of color, as well as those with disabilities and those from low-income families. The University of California had joined other universities last year in making SAT and ACT scores optional for applications due to the coronavirus pandemic, and had already decided to extend this optional period another year. However, students sued the university, alleging that providing the option to voluntarily submit scores would still be unfair to students with disabilities, many of whom were not able to take the tests with their needed accommodations during the pandemic.

Students to sue college for keeping tuition after suspending them over mask violation - The families of three students from the University of Massachusetts at Amherst who were suspended from the spring semester for attending a party unmasked are planning to sue the school for the $16,000 in tuition that the school kept when they were kicked out of school. The freshmen were initially suspended after another student sent the March photo of them to the school, according to The Washington Post. “These beautiful young ladies who are honors students have had a full academic year stripped away and their paths broken of their higher education for alleged COVID violations,” one of the parents of the students told local ABC affiliate WCVB-TV. “Expectations regarding students’ responsibility to follow public health protocols, and the consequences for failing to do so, were clearly communicated to students before and throughout the spring semester, and students were updated regularly as conditions changed,” the university told the Post in a statement. However, some observers have accused to the school of having a double-standard for how it implements its COVID-19 policies, noting that some members of its hockey team were seen celebrating unmasked in April after they won the NCAA championship. The school told the Post it was "regrettable" that some players were unmasked, but argued this celebration took place later in the semester when infection rates were lower.

One in three college students are food insecure in the United States -- Since the onset of the pandemic, food insecurity has skyrocketed throughout the United States. One of the hardest hit segments of the population has been students in higher education. Food insecurity now affects one-in-three college students. According to a survey conducted during the fall 2020 semester from Chegg.org, the research and advocacy arm of the course materials and services company Chegg, nearly one third (29 percent) of students have missed a meal at least once a week since the beginning of the pandemic. In addition, more than half of all students (52 percent) sometimes use off-campus food banks, and 30 percent use them once a month or more. According to the survey, nearly one third of students reported they had been laid off due to the pandemic, and 40 percent of those who skipped meals said they did so to pay for debt or study materials. For working class youth, making the decision to go to college means sacrificing basic necessities such as health care, adequate housing, and food security. Under the dire conditions created by the ruling class response to the pandemic, seeking higher education comes at a staggering price for a whole generation of youth. The cost of college alone is enough to keep working class youth chained to the banks well into old age. The average public university student now borrows $30,030 to attain a bachelor’s degree. The total student debt outstanding in the Federal Loan Portfolio is over $1.56 trillion. Many working class youth qualify for food assistance programs throughout their tenure at K-12 schools. The USDA National School Lunch Program provides low-cost or free meals to 29.4 million K-12 students of low-income families. The fact that so many children rely on these programs in order to eat each day is a staggering indictment of the difficult conditions facing working class families in the most “advanced” capitalist country in the world. When these students graduate high school, this meager safety net is no longer available. College students face strict eligibility requirements for the Supplemental Nutrition Assistance Program (SNAP). In a report from the National Student Campaign Against Hunger and Homelessness (NSCAHH) from 2016, 46 percent of US college students reported experiencing food insecurity in the past 30 days, yet only 18 percent of college students qualified for SNAP and just 3 percent received benefits. While there is limited data out on the situation over the last year, one can assume these figures are now much starker than in 2016. In December 2019, rule changes to the SNAP program specifically targeted “able-bodied adults without dependents.” These changes made it even more challenging for states to waive requirements that someone work at least 20 hours per week, excluding otherwise eligible students from the program. What this means in practical terms is that many college age students are forced to work 20 hours a week on top of a full class load just to be able to afford food.

Older people are giving up hope of paying off their student loans before they die -- Older people are giving up hope of paying off their student loans before they die: ‘There’s a real fear in dying in this,” Insider, Ayelet SheffeyLinda Navarro, 70, borrowed $20,000 in 1990 for graduate school, according to documents reviewed by Insider. She owes $145,000 and has an estimated payback of $212,544.“When student loans took over my life, I stopped looking forward to anything,” she told Insider. “You are on a hamster wheel, and you will not get off. You know that you will never get off.”Before attending graduate school, Navarro had served in the Navy but didn’t qualify for loan forgiveness under the GI Bill because she missed the 10-year window to use the bill’s student-loan-forgiveness benefits. Because of income losses during school, she said she ended up losing her home and was not even able to complete her graduate program. While commenting on Alan Collinge’s Student Loan Justice site about much of what is being revealed here, I pointed out the problem with interest, interest on top of interest, paying interest before principal, etc. .It is a problem. You never touch principle. I am very happy to see the Student Loan Justice site and Alan get the attention it deserves with this article by the Insider.It is unbelievable, people are accruing interest during forbearance and paying all of the interest before paying principle. This does not occur with regular loans. Late payments over a period of time are harshly penalized. Much of the interest accumulated is what students pay first before principle.Most of the issues with Student Loans results from the efforts of one person who started the process of attacking students who were late. Joe Biden started the attack on students with their loans in the nineties. He has limited any type of forgiveness or escape from the loans and the oppressive penalties, the interest on the penalties, and the interest on the interest.I can assure you former President Trump did not go through the same penalties with his many bankruptcies. Our young and older are.Joe needs to fix the problem.

Penn State Administrator Who Failed To Report Sandusky Sex Crimes With Minors Received $330,699 Public Pension -- In 2001, Gary Schultz was Penn State’s senior vice president for finance and business when he was told that assistant football coach Jerry Sandusky had sexually assaulted a boy in the school’s locker room shower.But neither he nor any other Penn State administrators who were told about the incident reported it to law enforcement, childcare, or youth services.Schultz was charged with perjury and failing to report to authorities allegations of sexual contact with a minor. However, he retired from Penn State and collected a $330,699 annual pension.He plead guilty to endangering the welfare of children in March 2017, was sent to jail and released in September 2017.Schultz was given a six-to-23-month sentence, with only the first two months in jail and the remainder on house arrest, followed by probation.While Pennsylvania has a pension forfeiture law that strips pensions from public employees convicted of job-related crimes, Schultz’s crime fell between the cracks, allowing him to continue collecting his $330,669 yearly pension.

'Saturday Night Live' blasted for cultural appropriation --A "Saturday Night Live" skit sought to find humor in Generation Z speaking in slang appropriated from African American Vernacular English. The skit fell flat and was criticized for mocking AAVE, which Black people are often discriminated against for using. The skit also prompted a discussion of white youth culturally appropriating Black culture. So you know what "bestie," “I’m so pressed,” “catch hands” and “give us the tea,” all mean — but do you know their origins? That’s the question many viewers are asking after a "Saturday Night Live" ("SNL") skit sought to poke fun at language used by Generation Z that originated in African American Vernacular English (AAVE). On social media, some took offense at the skit’s depiction of AAVE terms as slang used by young people without paying credit to Black culture. It didn’t help that the cultural appropriation wasn’t just offensive, but also inaccurate — and, to some, just not funny. The origins of AAVE itself is a hodgepodge of cultural influences used by enslaved people in the United States and has its own phonology, grammar and other linguistic rules. While Black people have been punished and discriminated against for their use of AAVE, white people have appropriated parts of the language without consequence for decades. Some speculated that the joke was actually on Gen Z, especially white youth who have found fame and even profit on Tik Tok and other platforms by culturally appropriating Black culture and language, such as AAVE. But not everyone was convinced that SNL was in on their own joke.

​​​​​​​Mediterranean Diet May "Protect" Brain From Alzheimer's Disease, Study Says --The best way to decrease the risk of Alzheimer's disease could be a Mediterranean diet that is rich in fish, vegetables, and olive oil, according to a new study. The research, titled "Mediterranean Diet, Alzheimer Disease Biomarkers and Brain Atrophy in Old Age," was published in the online issue of Neurology, the medical journal of the American Academy of Neurology, and found a Mediterranean rich diet may "protect" the brain from protein build-up and shrinkage that can lead to the debilitating neurological disease. The study examines abnormal proteins called amyloid and tau. The amyloid-beta precursor protein plays a vital role in neural growth and repair. However, later in life, a corrupted version can destroy nerve cells, leading to memory loss, while tau is a protein that forms into a tangle. Both are found in the brains of people with Alzheimer's disease but may also be found in the brains of older adults with healthy brain function. While there is no single definition of the Mediterranean diet, it is typically high in fish, vegetables, fruits, whole grains, beans, nuts and seeds, and olive oil. The diet has a low intake of saturated fatty acids, dairy products, and red meat.

Scientists may have found a new coronavirus rapid-testing method: Bees - The fight against the coronavirus pandemic has scientists tapping an unlikely resource: the finely tuned olfactory sense of bees.Dutch researchers on Monday said they have trained honeybees to stick out their tongues when presented with the virus’s unique scent, acting as a kind of rapid test.Although it’s a less conventional method than lab tests, the scientists said teaching bees to diagnose the coronavirus could help fill a gap in low-income countries with limited access to more sophisticated technology, like materials for polymerase chain reaction (PCR) tests.“Not all laboratories have that, especially in smaller-income countries,” said Wim van der Poel, a professor at Wageningen University, which led the research. “Bees are everywhere, and the apparatus is not very complicated.”The scientists trained roughly 150 bees with a Pavlovian conditioning method in which they gave the insects a sugar-water solution each time they were exposed to the smell of the coronavirus. When the bees were presented with a sample that was negative for the virus, they received no reward. After repeatedly extending their tongues — technically called proboscises — for the sugar water, the scientists said the bees learned to stick out their tongues for a positive sample, even with no reward offered. Within hours, the insects were trained to identify the virus a few seconds after encountering it, the researchers said.

Coronavirus variants called 'escape mutants' could throw us back into lockdown  - For the first time in over a year, people are starting to feel hope that the pandemic has finally turned a corner. Nearly a third of Americans are fully vaccinated, and the Centers for Disease Control and Prevention has relaxed its recommendations onoutdoor masks. Europe is on track to be extensively vaccinated by summer's end. Both Paris and New York have announced they're reopening for business.But in reality we're entering one of the most precarious moments in the pandemic. We're in a critical race between vaccines and variants of the virus, and despite all the progress we've made in recent months, the outcome is far from certain. Fewer than one in 10 people on the planet has had even a single dose of any COVID-19 vaccine, while new and frightening variants are infecting people at a record pace. And that puts all of us — even, in a worst-case scenario, the vaccinated among us — at risk of having to go back to square one. The situation is so alarming that top public-health experts and virologists I spoke with sound more disheartened about the state of the pandemic now than they did just a few months ago, when it seemed as if vaccines were going to flatten the curve. "It's not looking good, just to be totally honest," the leading virologist Dr. James Hildreth, who serves on the Food and Drug Administration advisory committee that authorizes COVID-19 vaccines, told me. "It seems almost as if the availability of vaccines, and the knowledge that they're coming, has caused some people to let up their guard a little too soon." Scientists who have tracked the spread of variants since the dawn of the pandemic have watched in horror as new, more infectious mutations have taken over. "Until November, most people really didn't even give variants a second thought," said the epidemiologist Michael Osterholm, the director of the Center for Infectious Disease Research and Policy at the University of Minnesota. "They were just kind of curiosities, ways to measure how old the virus might be." The big question now is, have we seen the worst variations this virus has to offer? More and more, scientists are leaning into the camp ofnot so sure about that. And that prospect has some of the best virus-watchers worried.

4 coronavirus variants can make people sicker or spread faster, including the variant first found in India. Here's why experts are so concerned about mutant strains. --Dr. Catherine Schuster-Bruce -- Several coronavirus variants have evolved mutations that mean they spread more easily, make people sicker, escape immune responses, evade tests, or render treatments ineffective.These are called "variants of concern" by the World Health Organization, and there are four that have spread to the US, including the variant first found in India.There are various other variants that may have troubling features, which experts are looking into. These are called "variants under investigation." They differ from the original virus strain in a number of key ways. Variants of concern

• B.1.1.7, first found in the UK - B.1.1.7 was first detected in two people in south-east England. It was reported to the World Health Organization (WHO) on December 14. It has been identified in 123 countries worldwide, including the US, where there are more than 20,000 reported cases, according to the CDC.  It became the most common variant in the US on April 7.Tennessee has the highest proportion of B.1.1.7 cases of any state, accounting for 73% of sequenced cases. B.1.1.7 is between 30% to 50% better at spreading from person to person than other coronavirus variants, according to UK scientists.B.1.1.7 could be more deadly. The UK government's New and Emerging Respiratory Virus Threats Advisory Group (NERVTAG)reported a model on January 21 that showed someone infected with B.1.1.7 is 30% to 40% more likely to die than someone with a different variant.  COVID-19 vaccines from Pfizer-BioNTech, Moderna, Johnson & Johnson and AstraZeneca all appear to protect against B.1.1.7.
• B.1.351, first identified in South Africa. B.1.351 was first detected in Nelson Mandela Bay, South Africa, in samples dating back to the beginning of October 2020. It was reported to the WHO on December 18. It has been found in 84 countries, including the US, where there are 453 cases reported across 36 states and jurisdictions according to the CDC B.1.351 is thought to be 50% more contagious than the original strain, according to South African health officials. It's not thought to be more deadly. But there is evidence from South Africa that when hospitals came under pressure because of the variant's spread, the risk of death increased. The variant may evade the body's immune response, data suggests. Antibodies work best when they attach snugly to the virus and stop it from entering our cells. The B.1.351 variant has mutations called E484K and K417N at the site where antibodies latch on. In early lab tests, antibodies produced by Pfizer and Moderna's COVID-19 vaccines couldn't attach as well to B.1.351, compared to the original coronavirus.
• P.1, first identified in Brazil, which is twice as contagious.  The variant found in Brazil was first detected in four people in Japan, who had traveled from Brazil on January 2. It was identified by the National Institute of Infectious Diseases on January 6, and reported to the WHO that weekend. It has been found in 45 countries worldwide, including the US, where there have been 497 cases in 31 states, according to the CDC P.1 is twice as contagious as the original coronavirus — it was initially detected in Amazonas, north-west Brazil, on December 4, and by January 21, 91% of people with COVID-19 in the region were infected with P.1, according to the WHO.  P.1 has similar E484K and K417T mutations as B.1.351, which means it can evade antibody responses. This could be the reason P.1 reinfects people who have already caught coronavirus — a study published April 14 showed that previous coronavirus infection only offered between 54% and 79% of the protection for P.1 than for other virus strains. P.1's mutations could also mean that vaccines work less well.
• B.1.617, first identified in India. The variant first found in India, B.1.617, is in fact three distinct viruses. Collectively, they have spread to more than 17 countries, according to the WHO. All three have been detected in the US,according to GISAID. The WHO and UK have designated it a "variant of concern" because it's more infectious than the original virus. Its mutations include:
  • L52R: May make the virus more infectious or it may avoid the antibody response. 
  • P6814: May make it more infectious.
  • E848Q: May help the virus avoid the antibody response.

No studies to date have found that any of the variants first found in India are deadlier than earlier versions of the virus, or that it can evade vaccines.

The Covid-19 Variant in India: What Scientists Know About the B.1.617 Strain – WSJ --Scientists and public health officials are racing to understand the risk posed by a coronavirus variant known as B.1.617, which the World Health Organization on Monday designated a global “variant of concern.”The WHO says preliminary studies show the variant may spread more easily than other strains of the new coronavirus. Scientists and public-health experts are trying to better understand the role it is playing in the record-setting surge of Covid-19 cases that hasoverwhelmed India’s healthcare system in recent days—and what risk it poses to the rest of the world. India reported more than 366,000 new cases of Covid-19 on Monday.  The variant, identified in October, is a mutant form of the virus that causes Covid-19. It has 13 mutations, including two notable ones in the spike protein that the virus uses to attach to and infect cells.One of the mutations, dubbed E484Q, is similar to one that is common to the variants identified in South Africa and Brazil. In those variants, the mutation seems to make the virus better at evading the body’s immune responses. The other, known as L452R, is also found in the dominant strain in California, and may boost viral transmission.The two mutations “are in really important parts of the structure of the spike protein,” said Benjamin Pinsky, associate professor of pathology at Stanford University School of Medicine and medical director of the Clinical Virology Laboratory at Stanford Health Care. “They’re important for the interaction of the virus with the host.”  Scientists are also looking into a third mutation, P681R, which might help the virus replicate more quickly.Public-health officials in the U.K. said preliminary evidence suggests that one version of the variant is at least as transmissible as a highly contagious variant known as B.1.1.7. That variant has spread around the world after it was first identified in southern England last year.Yet some scientists aren’t sure the virus spreads more easily. “I don’t know that we have a good answer to that right now,” Dr. Pinsky said. “The current pandemic in India is out of control and devastating, but I don’t think it’s entirely clear how much this variant and other variants are contributing to the widespread transmission.” Scientists don’t yet know if the B.1.617 variant is deadlier than other variants.. One recent study documented a cluster of B.1.617 infections in Indian healthcare workers who had been vaccinated with the shot developed by the University of Oxford and AstraZeneca PLC. Lab studies conducted by the authors of the study, which hasn’t yet undergone peer review, suggest that antibodies elicited by the vaccine developed by Pfizer Inc. and BioNTech SE were slightly less effective at neutralizing B.1.617 than other variants. Ravindra Gupta, a professor of clinical microbiology at the University of Cambridge and one of the study’s lead authors, told reporters Monday that even if research confirms the B.1.617 variant is more likely than other variants to cause infection in people who have already been vaccinated, vaccines should nonetheless be effective at preventing severe illness and death.

WHO, CDC Throw in the Towel on Covid Aerosol Transmission, Biden Administration Seems Oblivious --Lambert Strether --As readers know, I have long urged, following the science, that Covid is airborne, and that its main mode of transmission is via aerosols. (I was initially persuaded by an epidemiological study, now consigned to link rot, that showed a seat diagram on a Chinese bus with the index case and how many were infected. It seemed clear that neither fomites nor hacked up droplets could be the cause, since the seats were widely separated. Many more such studies followed. No such studies followed for fomites or droplets.) On April 30 — after enormous efforts from aerosol scientists — WHO changed its guidance to reflect that Covid is airborne. On May 7, CDC followed. So, after more than a year, we have finally agreed Covid’s mode of transmission. It is to be hoped that science-based mitigation measures — especially ventilation — follow. In this post, I will first look at what WHO and CDC actually said. Then I will look at helpful materials produced by the aerosol scientists and their allies during their battle (which may prove helpful in further battles to come, especially in schools and workplaces). Turning to institututional slash political factors, I will look at why WHO and CDC delayed so long, and how the Biden administration seems oblivious to the paradigm shift from droplets to aerosols (going to far as to push useless, even dangerous, plexiglass shields).

If we don't address transmission, we'll be chasing variants forever -With multiple COVID-19 vaccines authorized by the Food And Drug Administration (FDA) for emergency use, we should be basking in the sunlight of our progress. Unfortunately, it feels as though we are always one step behind this virus — constantly adapting our plans to combat an emerging issue. Now, new variants threaten to extend this pandemic and challenge the effectiveness of these vaccines. The key thing to realize is that these are not SARS-CoV-2 vaccines, they are COVID-19 vaccines. They are incredibly effective in stopping the disease of COVID-19 in people, but not necessarily at stopping the viral transmission of SARS-CoV-2 to others. Understanding the partnership between transmission and variants is essential to our collective future. Viruses spread. It’s in their nature. They copy themselves, over and over, infecting as many people as possible. But with each copy, the virus has the potential to change ever so slightly — mutating into something different. This is called a variant. Unless we address transmission and stop the spread of SARS-CoV-2, we will continue to allow the development of new and potentially dangerous variants.  We must focus on stopping transmission.   Stopping transmission begins with immediately halting the virus’s effects on the body. That is to say, we must create systemic immunity to protect our lungs and blood system where viruses cause severe disease. Most vaccines authorized, or under development, around the world are focused on the activation of the Immunoglobulin G (IgG) antibody in the immune system. Of the five different types of COVID-19 vaccines reportedly being developed, most have one thing in common: they target IgG antibodies and T cell receptors. Whether it be through an mRNA, DNA or adenovirus-developed vaccine, they all circulate within the blood system and prime the systemic immune system to attack the coronavirus.    The second step to stopping transmission is to ensure long-term individual immunity. This happens through T cells. They determine the level of immune response to foreign substances in the body. T cells play a critical role in clearing the already-started infection by targeting and destroying virus-infected cells. With this coronavirus, research has shown that these cells are needed for long-term protection from the virus to help fight reinfection. With numerous variants emerging around the world, and more possible to surface, reinfection is a very real possibility that we need to anticipate.

 Resignation in Protest, Frontiers in Pharmacology Topic Editors, “Treating COVID-19 With Currently Available Drugs” -- Yves Smith --We published a post on work at the University of California, San Francisco, to identify existing drugs that looked like they had the potential to treat Covid, as in at a minimum reduce the severity of disease (We Found and Tested 47 Old Drugs That Might Treat the Coronavirus: Results Show Promising Leads and a Whole New Way to Fight COVID-19). But that was before the vaccine effort was far enough along to look like it was likely to bear fruit. As we’ve pointed out, the West has gone all in with the vaccine magic bullet approach, when that’s not a great public health idea, unless the goal is the low bar of keeping hospitals from collapsing. It’s unlikely that any vaccine that combats a respiratory virus will achieve the level of sterilizing immunity.¹ The current round of vaccines accordingly produce 90%ish immunity against serious disease and death….for how long? Six months? Eight months? Maybe a year? And that’s before the potential for variants to lower the efficacy of vaccines just administered.So a multi-pronged approach would seem to be desirable if the aim is to have the public feel safe enough to resume something like the old normal. That means keeping up handwashing and masking in many indoor settings, and emphasizing ventilation. It also means using prophylactics and treatments. Yet it’s hardly news that discussion of using old off patent drugs as treatments is being depicted as crank-dom. As reader Richard Needham said over the weekend: There are no ‘credible’ journals but no lack of medical professionals who do not read the literature but depend upon the NIH, WHO, and JAMA rather than forming their own opinions from the data and acting upon them in the clinic. A hopeful sign is that many front-line physicians recognize that their judgement matters and are willing to take on the derision of their colleagues by supplying their patients with IVM. It is called practicing medicine and is an ethical responsibility that can not be avoided.Four top medical researchers just resigned from Frontiers in Pharmacology in protest over the rejection of two papers that had gotten to the “final validation” stage of the review process, which is by editors of the publication, and not independent experts. One was on Ivermectin, the other on Celecoxib and high does Famotidine adjuvant therapy. We’ve reproduced their resignation letters so you can see their description of how these cases were handled. Note the initial the refusal to ‘splain the basis for rejection of papers that had made it through all the previous review stages, which when the reviewers did not back down, shifted into nonsensical bureaucratic pretexts and insinuations that the guest editors had behaved improperly). As you’ll see, Frontiers went scorched earth. Per the missive below:

The People Who Plan on Wearing Masks Forever - Robin Argenti cannot yet envision a future in which she doesn’t wear a mask. “We don’t know if it is going to ever be over,” the 57-year-old resident of upstate New York said of the pandemic. She’s in poor health, and concerned that with the emergence of new variants and the “millions of people who refuse to get vaccinated,” the country will never actually overcome the coronavirus. “I will be masked up for many, many years,” she said. “There are too many unknowns.” As more and more Americans get vaccinated, the end of the pandemic feels palpable. Most people probably cannot wait to cut out the social distancing and take their masks off. I can’t wait for the day when I can walk down the street and look at a sea of strangers’ naked faces. But there are some people like Argenti who say they plan to make mask-wearing a part of daily life, even after the authorities give the thumbs-up to bare your entire face.Long before the coronavirus arrived, Ben Rosenblum was taking precautions that we would all eventually come to adopt. “I’ve been a mysophobe since middle school,” the 23-year-old digital archivist told me, meaning he’s afraid of uncleanliness and germs. A global pandemic, as it turns out, didn’t quite exacerbate his condition as much as it substantiated it. “If I go out somewhere and I touch crosswalk lights and stuff like that, and I have to open doors and everything, I don’t feel like I’m insane for coming home and vigorously scrubbing my hands down,” he said. He took to mask-wearing pretty quickly, and has come to enjoy it. “It does give you this sort of privacy in that you’re hiding half of your face,” he said. Even after he is vaccinated and the pandemic ends, Rosenblum plans on continuing wearing a mask in public.Michael Bizzaro, a Colorado teacher, told me that while he doesn’t particularly enjoy wearing a mask, he’s noticed health benefits beyond not getting (or spreading) COVID-19. “Being a public-school teacher, there are multiple times a year that I get sick,” he said. “Being in the presence of lots of teenagers, I get colds quite often. I’m affected pretty badly by seasonal allergies.” Even though he has gone back to teaching in person, he told me, “I have not had any sort of sickness — a cough, a sneeze, a fever, anything — since the pandemic started.” For Bizzaro, continuing to wear a mask in a post-COVID world is somewhat of a no-brainer. “It’s not even a minor inconvenience wearing the mask, so why not wear it in the future?”

Variant strain of coronavirus kills four people in Palm Beach County -With the number of COVID-19 cases falling, Florida still leads the nation in new infections as those caused by variant strains of the coronavirus skyrocket, according to the latest reports from state health officials.The number of people in Florida infected with a variant strain of the virus increased 77% in the last three weeks and the number of deaths nearly tripled to 67, state health officials reported Thursday.Four people in Palm Beach County have died from the B.1.1.7 mutation of the virus, commonly known as the British variant. It is by far the most common of the six variants that are circulating throughout the state. The deaths, the first reported in the county, means 30 people in South Florida have died of variant strains, which are more contagious and more deadly. Of the 11,808 people in the state who have tested positive for one of the variants, 6,026 are in Palm Beach, Broward or Miami-Dade counties, the state’s three most populous counties.Since only a fraction of people who contract COVID-19 are tested for the variant, public health experts say the actual number of cases is likely to be three or four times higher than those that have been identified. Even though Florida leads the nation in the number of confirmed variant cases and Palm Beach County, with 714, is one of the hotspots in the state, the county’s health director said she isn’t panicking.“The variants are more widespread but we are not seeing them causing more deaths or hospitalizations,” said Dr. Alina Alonso, director of the county’s state-run health department.Instead, she said, she is working to get as many people between the ages of 15 and 54 vaccinated so they won’t fall victim to the original virus or one of its mutations.Since the vaccines protect people against all forms of the virus, the faster people get inoculated, the less likely vaccine-resistant variants of the virus can develop.  “That’s where 82% of our new cases are occurring,” she said of overall infection rates among those between the ages of 15 and 54..Like the main strain of the virus, the variants have been most deadly to the state’s oldest residents. While 54% of those infected with a variant were between the ages of 15 and 44, seniors account for 67% of the deaths. While roughly 85% of the deaths from the coronavirus have been among seniors, since nearly 80% of those 65 and older are vaccinated, deaths in that age group have plummeted.

New mutation of Brazilian COVID-19 variant reported in Florida - A mutation of a COVID-19 strain that is thought to have originated in Brazil has been detected in Florida, health department officials said last week.The Florida Sun-Sentinel reported that two cases of the so-called P2 variant have been recorded in the state so far, one in a 74-year-old and one in a 51-year-old. The strain is believed to be a slight mutation of the Brazilian one that has vexed health authorities in the country for months.Of particular concern to authorities is the strain's mutation, which experts say allows it to reinfect patients who previously had milder cases of COVID-19 and developed antibodies, including younger people who dealt with weaker or asymptomatic cases of the disease."We have just two cases in Florida that have the extra mutation, and what that means remains to be seen,” Marco Salemi, a professor with the University of Florida’s Emerging Pathogens Institute, told the Sun-Sentinel. “If in a month from now we go from two cases to 500, that will be concerning."“We don’t know if new mutations are going to make current variants more or less aggressive, which is why we have people around the world actively monitoring them,” Salemi added to the newspaper.Roughly 40 percent of Florida's population was vaccinated as of last week. The state is still recording thousands of new cases of COVID-19 per day, though far below a previous high reached in early January. The P1 variant, from which the P2 is thought to have mutated, was first discovered in the U.S. in January, when a Minnesota resident who returned from the country was found to have been infected.

Hundreds of bodies of covid-19 victims are still in New York’s refrigerated trucks more than a year into the pandemic -As New York emerged as the center of the coronavirus pandemic last spring, the overwhelmed city began storing the bodies of victims in refrigerated trucks along the Brooklyn waterfront.More than a year later, hundreds remain in the makeshift morgues on the 39th Street Pier in Sunset Park.In a report to a city council health committee last week, officials with the New York City Office of Chief Medical Examiner acknowledged that the remains of about 750 covid-19 victims are still being stored inside the trucks, according to the City, the nonprofit news website. Officials said during a Wednesday committee meeting that they will try to lower the number soon.Dina Maniotis, executive deputy commissioner with the medical examiner’s office, said most of the bodies could end up on Hart Island, off the Bronx, where the has city buried its poor and unclaimed for more than a century.“We will continue to work with families,” Maniotis told the health committee, according to the City news site. “As soon as the family tells us they would like their loved one transferred to Hart Island, we do that very quickly.”With more than a million people buried there, the mile-long land mass in the Long Island Sound is home to the largest mass grave in the United States.Up to one-tenth of the city’s coronavirus victims may be interred on the island, according to an analysisconducted through a collaboration between the City and the Stabile Center for Investigative Reporting at Columbia University’s Graduate School of Journalism. The analysis revealed that at least 2,334 adults were buried on the island in 2020 — more than double the number in 2019.Viral drone video capturing the burial of covid-19 victims on Hart Island in early April brought the elusive mass grave into the national spotlight.  In March and April of last year, New York City was among the hardest-hit areas in the world. The medical examiner’s office, equipped to handle 20 daily deaths, was instead flooded with as many as 200 per day, the Wall Street Journal reported.“Long-term storage was created at the height of the pandemic to ensure that families could lay their loved ones to rest as they see fit,” Mark Desire, a spokesperson for the medical examiner’s office, told the Associated Press last week. “With sensitivity and compassion, we continue to work with individual families on a case-by-case basis during their period of mourning.”Between 500 and 800 bodies have been stored in the trucks since April 2020, according to estimates collected by the City and the Stabile Center.

Average US daily COVID-19 cases below 40K for first time since September - The average number of daily COVID-19 infections in the United States fell below 40,000 Monday for the first time since September, according to data compiled by Johns Hopkins University. On Monday, the reported seven-day average for daily new coronavirus cases was at 38,000, the lowest level recorded since Sept. 15 and a decrease of 22 percent from just a week ago. The current rate is also down 46 percent from a daily average of about 71,000 in mid-April, according to Johns Hopkins. The latest seven-day average of daily deaths as a result of COVID-19 was 635 as of Monday, which is much less than the high daily death rates of more than 3,000 in January and February. In total, the U.S. has led the globe in most coronavirus infections and deaths, with roughly 32.7 million cases and more than 582,000 deaths as a result of the virus, according to Johns Hopkins data. However, Anthony Fauci, the nation’s top infectious disease expert, said during an interview on NBC’s “Meet the Press” Sunday that the U.S. has likely undercounted the number of coronavirus-related deaths. A recent study from the University of Washington indicated that COVID-19 deaths in the U.S. could be as high as 900,000. DC reports backlog of COVID-19 cases caused by IT issue US reaching turning point in pandemic amid vaccination concerns The drop in the rate of daily infections in the U.S. comes as nearly 60 percent of the U.S. adult population has received at least one dose of the coronavirus vaccine as of Monday, with 44 percent fully vaccinated, according to the Centers for Disease Control and Prevention (CDC). However, CDC data indicates that the daily rate of vaccinations has dropped substantially from a high of about 3.4 million administered per day in mid-April. Now, the seven-day average of vaccinations fluctuates between 1.9 million and 2.2 million.

May 10th COVID-19 Vaccinations, New Cases, Hospitalizations; Lowest Cases Since September Progress! Imagine if another 20% of the population was vaccinated. We have the capacity to administer 4 million shots per day (about double the current rate). President Biden has set two vaccinations goals to achieve by July 4th:
1) 70% of the population over 18 has had at least one dose of vaccine, and
2) 160 million Americans fully vaccinated.
According to the CDC, on Vaccinations. Total administered: 261,599,381, as of yesterday: 259,716,989. Day: 1.88 million.   (U.S. Capacity is around 4 million per day) <
2) 114.4 million Americans are fully vaccinated.
And check out COVID Act Now to see how each state is doing.   Almost 5,500 US deaths were reported so far in May due to COVID.  This graph shows the daily (columns) 7 day average (line) of positive tests reported.  Note: The ups and downs during the Winter surge were related to reporting delays due to the Thanksgiving and Christmas holidays.  This data is from the CDC. The 7-day average is 38,678, down from 40,677 yesterday, and down sharply from the recent peak of 69,881 on April 13, 2021. This is the lowest since September 16, 2020, but still above the post-summer surge low of 34,668. The second graph shows the number of people hospitalized. This data is also from the CDC.  The CDC cautions that due to reporting delays, the area in grey will probably increase.  The current 7-day average is 30,508, down from 31,992 reported yesterday, but still above the post-summer surge low of 23,000.

 DC reports backlog of COVID-19 cases caused by IT issue - The Washington, D.C., government reported on Tuesday that the city saw a backlog in COVID-19 cases over the last three to four days because of an IT issue, a day after Mayor Muriel Bowser (D) announced plans to loosen coronavirus restrictions. The city first raised the matter in its written daily coronavirus data update, saying the backlogged cases will appear in Monday’s case count “partially” and in Tuesday’s case count. “Due to an IT issue that has since been resolved, DC Health has identified that there is a backlog of cases from the past 3-4 days that is partially reflected in today's case count and will also be present in tomorrow's case count,” the update said. DC recorded 87 additional positive COVID-19 cases on Monday and three additional deaths, contributing to a total of 48,282 cases and 1,113 fatalities throughout the pandemic. In the previous four days, the city counted a downtrend in cases with 56, 28, 16 and then 15 new cases per day. The complication in the city’s data reporting came a day after Bowser announced that most coronavirus restrictions would be dropped on May 21, citing a decrease in DC’s seven-day average of new daily cases. Data from before the reporting issue showed the average number of daily cases per 100,000 people had still largely declined throughout April and May, according to The New York Times. The mayor’s office did not immediately return The Hill’s request for comment. DC Health referred to the statement in the update.

Bill Maher tests positive for COVID-19 - HBO’s Bill Maher has tested positive for COVID-19, despite being fully vaccinated, his show announced Thursday. Maher’s show, “Real Time with Bill Maher,” said in a statement posted to Twitter that the host tested positive during a weekly testing of all employees. He is asymptomatic and “feels fine,” the statement said. As a result of the positive test result, Maher will not tape his weekly show this Friday. The episode will be rescheduled at a later date. So-called breakthrough coronavirus cases like Maher's have affected thousands of Americans. The Centers for Disease Control and Prevention (CDC) defines a “breakthrough” coronavirus case as a COVID-19 infection that occurs after a person is fully vaccinated. The CDC previously said that as of April 26, it had received 9,245 reports of breakthrough cases out of the more than 95 million people fully vaccinated. According to the agency, 27 percent of individuals with breakthrough cases were asymptomatic. Nine percent of the breakthrough infections resulted in hospitalizations while 132 cases, or about 1 percent, resulted in death.  

 Coronavirus variant cases on the rise in Wichita KS area -A wave of COVID-19 cases from coronavirus variants in Kansas has been led by a surge of the UK strain statewide and especially in Sedgwick County. The Kansas Department of Health and Environment on Monday reported 701 confirmed variant cases in 45 counties. The state’s total is up 6.5% from 658 variant cases in 43 counties on Friday, and up 57.5% from 445 variant cases in 36 counties one week ago. Sedgwick County is the second-most populous county in the state and has 285 variant cases. That’s more variant cases than the rest of the 13 most populous counties combined. Sedgwick County’s total is up 46% in one week. “At least half of the infections in Kansas now are no longer the wild type, they are a variant,” said Dr. Steve Stites, the chief medical officer at The University of Kansas Health System, during a Friday media briefing. Dr. Dana Hawkinson, medical director of infection prevention and control at KU, said the UK variant accounts for about 65-70% of all recent samples tested in Kansas. Hawkinson said the UK variant accounts for about 70% of recent samples in Sedgwick County. Since the start of the pandemic, Kansas has had 310,927 confirmed and probable COVID-19 cases, 10,405 hospitalizations, 2,882 ICU admissions and 5,016 deaths, according to the KDHE. There were 345 new cases, 31 new hospitalizations, eight new ICU admissions and zero new deaths over the weekend. Read more here: https://www.kansas.com/news/coronavirus/article251291339.html#storylink=cpy

Mesa County warns of hospital strain amid rising COVID cases -Local health officials are warning that an increase in COVID-19 cases has also led to an increase in hospitalizations just as the outdoor recreation season arrives. That’s important, hospital officials say, because now is the time that there’s usually an uptick in recreation-related injuries. “This is the season with increased outdoor activity; traditionally our hospitals fill up this time of year due to injuries and trauma related to those activities,” said Community Hospital Chief Medical Officer Dr. Thomas Tobin in a news release from Mesa County Public Health on Friday. In the past month, Mesa County has gone from three Intensive Care Unit COVID-19 patients to eight. The total number hospitalized is now 25, according to the release. “The additional patients due to COVID-19 are putting a strain on the system. I encourage all eligible individuals to receive the COVID-19 vaccine, as this effectively prevents most illness and nearly all serious disease,” said Dr. Andrew Jones, vice president and chief medical officer for St. Mary’s Medical Center. In recent days, the two-week case count for Mesa County has risen to more than 630 with a one-week positivity rate that has again reached 5%. According to the Mesa County Data Dashboard, 90% of staffed ICU beds are occupied, though hospitals across the county have long had surge plans in place to expand capacity when needed. By the same report, 94% of all total beds are occupied.

May 14th COVID-19 New Cases, Hospitalizations; 7-Day Average Cases Lowest Since June 25, 2020 --According to the CDC, on Vaccinations. Total administered: 268,438,666, as of yesterday: 266,596,486. Day: 1.84 million.  (U.S. Capacity is around 4 million per day)
1) 59.1% of the population over 18 has had at least one dose (70% goal by July 4th).
2) 120.3 million Americans are fully vaccinated (160 million goal by July 4th)
And check out COVID Act Now to see how each state is doing.   Almost 8,000 US deaths were reported so far in May due to COVID.This graph shows the daily (columns) 7 day average (line) of positive tests reported.This data is from the CDC. The 7-day average is 34,369, down from 35,474 yesterday, and down sharply from the recent peak of 69,881 on April 13, 2021. This is the lowest since June 25, 2020.The second graph shows the number of people hospitalized.This data is also from the CDC.The CDC cautions that due to reporting delays, the area in grey will probably increase. The current 7-day average is 29,588, down from 30,244 reported yesterday, but still above the post-summer surge low of 23,000.

COVID-19 infections soar in Alberta as third wave continues to rampage across Canada - Alberta had the highest per capita number of active COVID-19 cases of any region in North America last week, reaching 562 cases per 100,000 residents. If Alberta were a country, it would have the second-highest infection rate in the G20 behind only Argentina. The rapid increase in infection rates across the province is part of Canada’s surging third wave. In Ontario, the number of COVID-19 patients in intensive care (ICU), currently close to 900, is more than double the upper limit set by the provincial government for providing regular levels of care. Manitoba has emerged over the past week as the jurisdiction with the third-highest infection rate in North America, behind only Alberta and Michigan. On Saturday, Manitoba reported the death of a woman in her 20s. The main source of COVID-19 spread in Alberta, as across Canada, is workplaces. Many of the new infections are being registered in the province’s tar sands oil operations around Fort McMurray. This is a direct product of the hard right United Conservative Party’s open economy policy. Since the outset of the pandemic, Premier Jason Kenney has stridently refused to impose any restrictions on the activities of Alberta’s oil corporations and related industries, with the result that growing numbers of young, otherwise healthy working-age people are being laid low by more infectious and deadly COVID-19 variants. Newfoundland and Labrador is a major source of migrant labour for Alberta’s energy sector. As of May 4, the Newfoundland government warned on its COVID-19 website of outbreaks at numerous worksites in northern Alberta. These included: CNRL Albian Oil Sands Site, CNRL Jackfish, Cenovus Foster Creek, Cenovus Sunrise Lodge, CNOOC Long Lake Lodge, IOL Kearl Wapasu Oil Sands Site, Canadian Natural Resources Horizon Oil Sands Site, Syncrude Aurora, Syncrude Mildred Lake Oil Sands Site, Suncor Base Plant, Suncor Firebag, Suncor Fort Hills, Suncor MacKay River, Michels Canada, Oilsands Industrial Lodge, and Grand Prairie Royal Camp Services. Media outlets in Alberta have not reported these outbreaks.

WHO chief: Global COVID-19 cases, deaths plateauing but at 'unacceptably high' level - World Health Organization Director-General Tedros Adhanom Ghebreyesus said Monday that global COVID-19 case counts are plateauing but at an “unacceptably high” level. “Globally, we are now seeing a plateauing in the number of COVID-19 cases and deaths, with declines in most regions including the Americas and Europe, the two worst-affected regions,” Tedros said at a news briefing. “But it’s an unacceptably high plateau, with more than 5.4 million reported cases and almost 90 thousand deaths last week.” After rising throughout March and April, cases worldwide have now peaked and come down slightly, according to figures from Our World in Data, but there are still about 780,000 new cases every day, and almost 13,000 deaths. Cases have started to level off in India, which is facing a severe crisis, but they are still at the very high level of almost 400,000 every day, according to Our World in Data. The United States, where there is now an abundant vaccine supply, has seen cases decline, though Tedros warned that poorer countries do not have the same access to vaccines. “The shocking global disparity in access to vaccines remains one of the biggest risks to ending the pandemic,” he said. “High- and upper-middle income countries represent 53 percent of the world’s population, but have received 83 percent of the world’s vaccines,” he added. “By contrast, low- and lower-middle income countries account for 47 percent of the world’s population, but have received just 17 percent of the world’s vaccines.” The Biden administration has been facing calls to take greater action to help other countries. It has taken some steps, like announcing plans to donate 60 million doses of AstraZeneca's vaccine over the next couple of months. It also backed a waiver for vaccine patents at the World Trade Organization, but that process could take months to play out. Some experts say a more useful route in the near-term would be focusing on increasing supplies of raw materials and boosting manufacturing capacity.

Experts estimate COVID-19 death toll in India at over one million - Millions of Indians continue to suffer as COVID-19 takes thousands of lives and new infections are recorded every day. On May 9, the country passed another grim milestone of almost 22.3 million coronavirus cases, after reporting 403,738 new cases in the previous 24 hours. The official death toll climbed by 4,092 to 242,362. India, which has experienced 10 million new cases in the last four months, now accounts for 20.24 percent of all active cases and 7.12 percent of all deaths globally. The figures find concrete expression in the grim news reports of frantic scenes at hospitals, overcrowded crematoriums and round-the-clock pyres burning in city after city across the country, including in the national capital, Delhi. A May 8 editorial in the Lancet medical journal, citing statistics from the Institute for Health Metrics and Evaluation, estimates that India will see a staggering one million COVID-19 deaths by August 1. However, according to Dr. Murad Banaji, a Senior Lecturer in Mathematics at Middlesex University, that catastrophic figure has already been reached. Banaji told Karan Thapar, a journalist with the Wire, on May 8, that “80 percent of deaths” in India “have been missed… [and] for every five deaths which have occurred, only one has been counted.” In other words, he said, “over one million people have already died” from the coronavirus. Commenting on predictions that the daily death toll could reach 6,800 over the next two weeks, Banaji said the daily death numbers could be even higher because “infections are many times higher than daily cases… but most infections don’t get detected (because of low tests numbers).” Thapar pointed out that although the Indian government claims that 86 percent of all deaths have been registered, “only 22 percent have actual doctor’s medical certificates.” He referred to the situation in Uttar Pradesh and Bihar, where COVID-19 medical death certificates are just 5 percent and 2.4 percent respectively. Many of those who fall ill and die from COVID-19 are not recorded as coronavirus victims, Banaji said, because they had no prior access to doctors or were not tested.

COVID-19 bodies being disposed of in India rivers as cremation costs soar The bodies of Indians believed to have died of COVID-19 are lining the river Ganges in northern parts of the country as cremation costs have forced many to deal with the remains of their loved ones personally amid a massive, deadly surge of the virus.The New York Times reported that dozens of bodies, at least 30, had been discovered by authorities near Chausa, a town in the country's northeast, with authorities suspecting but being in most cases unable to prove that the deaths were a result of the virus.Some witnesses put the number of bodies discovered as high as 100.Local tradition, according to the Times, leads some to weigh the bodies of the dead down with stones before releasing them into the Ganges, which is a holy river in Hinduism, but local officials told the Times that the number of recovered bodies has shot up in recent weeks.“I’ve never seen so many bodies,” Arun Kumar Srivastava, a government doctor based in Chausa, told the Times of the situation. “Definitely, more deaths are happening.”India has experienced a massive second wave of infections in recent weeks that has overwhelmed many hospitals in the country and left thousands struggling to find medical care for very sick family members or even themselves.The problem has been exacerbated by a shortage of medical staff, oxygen supplies and vaccines, according to a number of news reports.India set single-day records for new COVID-19 cases at least three times last week as health officials continue to battle the surge and a number of countries, including th e U.S., have offered aid, such as vaccine materials, COVID-19 tests and oxygen supplies.

World Health Organization declares B.1.617, first identified in India, the fourth variant of concern - At their Monday COVID-19 press brief, the World Health Organization (WHO) declared the highly contagious variant first identified in India, classified as B.1.617, as a variant of concern, meaning that it is now considered a global health threat. Dr. Maria Van Kerkhove, the technical lead for the COVID-19 pandemic, explained, “In our consultation with our virus evolution working group, our epidemiology teams, and our lab teams internally, there is some available information to suggest increased transmissibility of B.1.617.” She added that this variant could also reduce neutralization from antibodies, implying it has the ability to evade immunity to some degree, one of the key reasons it was classified as a variant of concern. The designation is used for those mutations that have been demonstrated to be more contagious, deadly or resistant to the COVID-19 vaccines currently being employed. Along with the B.1.117 (UK variant), B.1.351 (South African variant), and P.1 (Brazil variant), this makes B.1617 the fourth strain of the SARS-CoV-2 virus to have undergone a mutation toward a more virulent and transmissible form, arising independently under the pressures of mass infections, brought on by the criminal policy of herd immunity that threatens to make the coronavirus endemic. The B.1.617 variant that is behind the massive surge across India and neighboring countries such as Nepal has three sub-lineages. The B.1.617.3 was first detected in Maharashtra, India, on October 5, 2021, but has remained the uncommon form compared to the two sub-lineages B.1617.1 and B.1.617.2, first seen in December. The average daily COVID-19 case count in India is approaching 400,000, and the official daily death toll, a vast underestimation, is close to 4,000. The current official tally for India has tallied over 23 million COVID-19 cases and more than a quarter-million deaths. More recent estimates place that figure over 1 million. In recent animal models, the B1.617.1 variant showed a higher viral load and pathogenicity than the B.1 variant. The early evidence suggests that the B.1.617 is more transmissible and immune evading compared to the B.117 and B.1.618 mutants. In West Bengal, a state in eastern India, between the Himalayas and the Bay of Bengal, where B.1.618, which contains the E484K mutation, was dominant, it has been supplanted by the B.1.617 lineage. Additionally, the B.1.617 has spread to 40 other nations, including the United Kingdom, the US and Canada. Dr. Sujeet Singh, director of the National Center for Disease Prevention and Control, based out of New Delhi, speaking at a press conference on May 5, said, “In some states, the surge can be tied to B.1.617.”

 Deadly ‘black fungus’ cases add to India’s covid crisis --As coronavirus cases and deaths soared in India recently, doctors began to notice another disturbing trend. Some covid-19 patients who had been released from hospitals were coming back with different symptoms, including sinus pain, blurred vision, black and bloody nasal discharge and a dark discoloration around the nose. The culprit was a deadly fungal infection called mucormycosis that physicians say is increasingly preying on people with immune systems weakened by covid-19 and the steroids used to treat it. Though cases of what is known as “black fungus” remain rare, its lethality and increasing prevalence have prompted government warnings, put doctors on high alert and added to the country’s health crisis. “The death rate from mucormycosis is 50 percent,” said Amarinder Singh Malhi from All India Institute of Medical Science, a public hospital in New Delhi. “The death rate from covid is 2.5 percent. So we have to use these steroids very cautiously.” Malhi said his hospital had not seen a spike in mucormycosis cases. But about a week ago, a journalist connected him on WhatsApp with a woman who had lost vision in one eye and was going blind in the other. “I referred that case to the emergency room,” he said, suspecting the woman had mucormycosis. “She needed antifungal drugs immediately.” Unless treated early, the aggressive fungal infection can often only be stopped with surgery. One Mumbai-based eye surgeon said he saw 40 mucormycosis cases last month alone, and 11 had to have an eye removed. “I will be removing her eye to save her life,” the doctor, Akshay Nair, told the BBC shortly before operating on a 25-year-old woman who had recovered from covid three weeks ago only to contract mucormycosis. “That’s how this disease works.”

Bodies float down Ganges as nearly 4,000 more die of COVID in India - (Reuters) -Scores of bodies are washing up on the banks of the Ganges as Indians fail to keep pace with the deaths and cremations of around 4,000 people a day from the novel coronavirus. India currently accounts for one in three of the reported deaths from coronavirus around the world, according to a Reuters tally, and its health system is overwhelmed, despite donations of oxygen cylinders and other medical equipment from around the world. Rural parts of India not only have more rudimentary healthcare, but are now also running short of wood for traditional Hindu cremations. Authorities said on Tuesday they were investigating the discovery of scores of bodies found floating down the Ganges in two separate states. "As of now it is very difficult for us to say where these dead bodies have come from," said M P Singh, the top government official in Ghazipur district, in Uttar Pradesh. Akhand Pratap, a local resident, said that "people are immersing bodies in the holy Ganges river instead of cremation because of shortage of cremation wood". Even in the capital, New Delhi, many COVID victims are abandoned by their relatives after cremation, leaving volunteers to wash the ashes, pray over them, and then take them to scatter into the river in the holy city of Haridwar, 180 km (110 miles) away. "Our organisation collects these remains from all the crematoriums and performs the last rituals in Haridwar so that they can achieve salvation," said Ashish Kashyap, a volunteer from the charity Shri Deodhan Sewa Samiti. The seven-day average of daily infections hit a record 390,995 on Tuesday, with 3,876 deaths, according to the health ministry. Official COVID-19 deaths, which experts say are almost certainly under-reported, stand at just under a quarter of a million. The World Health Organization said on Monday that it regarded the coronavirus variant first identified in India last year as a variant of global concern, with some preliminary studies showing that it spreads more easily.

What we know about the Indian Covid variant so far -- The new variant of the Covid-19 virus first detected in India comes inthree forms: B.1.617.1 (abbreviated as variant 1), B.1.617.2 (variant 2) and B.1.617.3 (variant 3). Each of these has a slightly different genetic makeup. The one that is surging in England is variant 2. There is some good news and bad news about this variant, based on the limited data we have available. The good news is that we think it does not contain the 484K/Q mutation that has been linked to some degree of vaccine resistance. So the current AstraZeneca and Pfizer vaccines should work relatively well against it, and at least protect most of us from severe Covid-19 disease and death. We do not have any evidence of this variant causing more severe disease, either – at the moment. The bad news is that we think all the “Indian variants” contain the L452R mutation, which is also found in the “Californian variant”, and which seems to confer some vaccine resistance and possibly more transmissibility. Variant 2 does seem to be spreading quickly in the English population – possibly more quickly than even the existing B.1.1.7 “Kent variant”. It also contains a new mutation, and we are not sure what this does yet – it may also be enhancing transmissibility. What does this all mean, as England plans to open up further on 17 May and then 21 June? More data is required from laboratory and real-world population studies but in the meantime, you could think of it like this. Some virologists are fond of using the metaphor of an immunological landscape. Picture a savannah, with grassland, some hills and a mountain in the distance. We are the prey – say, antelopes – while the virus takes the form of predators, like hyenas or lions. If we are non-immune, you could see us as feeding on low-level grasslands. If the virus comes in a more rapidly spreading form (like the Kent or Indian variant), we could imagine this as a faster-moving predator chasing us down. If we are vaccinated with at least one vaccine dose of a fairly effective vaccine (for instance, AstraZeneca or Pfizer) or have natural immunity, we might be standing on hills of different heights, depending on the effectiveness of our protective immune responses (and not everyone will respond to the vaccine). This makes it more difficult, though not impossible, for predators to catch us. This analogy is not exact but may be quite useful at this time, in that not all antelopes chased by these predators will die; in fact, most of the time, the antelopes escape. Most non-immune people in the UK will not be exposed to the virus at this time of low virus prevalence. And where such non-immune cases do get infected, most will only get mild Covid-19 disease (the equivalent of a few scratches and bites). All the Covid-19 vaccines are likely to prevent severe disease and death, though they may not protect you against mild or moderate disease. However, new variants can always appear that may be able to bypass the vaccine or natural immunity barriers – unless we keep readjusting our Covid-19 vaccines (climbing higher hills) to keep out of their reach.

 German government opposes lifting of patents on coronavirus vaccines - Germany’s government is resisting with all means at its disposal the lifting of the patents on coronavirus vaccines. Tedros Adhanom Ghebreyesus, head of the World Health Organisation, has been advocating an end to the patents for some time in order to overcome the shortage of vaccines in developing countries. More than 100 member countries of the World Trade Organisation, led by South Africa and India, have launched such an initiative. Several non-government organisations, including Doctors Without Borders, are supporting the call. When US President Joe Biden announced on Wednesday that his administration was considering suspending the patents, alarm bells began ringing in government buildings in Berlin. Chancellor Angela Merkel personally called Uğur Şahin, founder of the Mainz-based company Biontech, which brought the first approved coronavirus vaccine to market in conjunction with the US-based pharmaceutical giant Pfizer. Caption: Biontech-Pfizer vaccine (Picture: Marco Verch / CC-BY 2.0) The federal government subsequently declared its firm opposition to lifting the patents. “The protection of intellectual property is the source of innovation and must remain so in the future,” stated a government spokeswoman. The factors limiting the manufacturing of vaccines are not the patents, but the lack of production capacity and high-quality standards, the statement continued. The federal parliament opposed a motion by the Left Party calling for the abandonment of the patents by 498 votes to 117. The media was full of comments as to why patent protections must be retained. “The pharmaceutical companies have invested considerably to manufacture effective vaccines quickly, even though they received state subsidies,” stated the conservative daily Frankfurter Allgemeine Zeitung. “Their right to intellectual property should not be underestimated. The incentive to take risks and produce such achievements must be retained.” The Süddeutsche Zeitung commented, “Property is a valuable motivation for innovation. The fact that the first vaccine against coronavirus came from Germany is thanks to the local economy, which is based on incentives for entrepreneurs. The pioneering spirit of some researchers and businessmen is based on a systemic principle: my idea, my project, my business, my colleagues, and yes, my profit.” p

 Deadly coronavirus strain in France slipped through testing net, says study --A variant of the coronavirus hat caused a deadly outbreak in France can evade standard tests, detectable only deep in the lungs, according to a new study.  In a paper published on the preprint service medRxiv.org on Monday, researchers in western France said that only 15 per cent of patients in their study who had the B.1.616 variant tested positive in standard nasopharyngeal swabs, versus the 97 per cent hit rate for other variants circulating in France.And nearly half of the patients died in less than a month, a much higher rate than the 16 per cent mortality among other hospitalised Covid-19 patients. “[The] new variant [is] poorly detected ... with high lethality,” the researchers led by Pierre Fillatre, from the Centre Hospitalier de Saint-Brieuc, said in the paper. The study has not been peer reviewed. An infectious disease researcher with the Institute of Microbiology under the Chinese Academy of Sciences in Beijing said the variant, first detected in France earlier this year, had made the Chinese health authorities “quite nervous”. With large-scale testing and contact tracing, China has been able to quickly suppress nearly all outbreaks at home for more than a year. The central government requires all Chinese cities, including those with more than 10 million residents, to be able to roll out blanket testing programmes within a week after an initial case is reported. “If the mutation escapes surveillance, the whole system will collapse,” the Beijing-based researcher said, asking not to be named due to the sensitivity of the issue. Coronavirus: what’s the difference bet

Indonesia reports 2,385 new COVID-19 cases, 144 more deaths - The COVID-19 cases in Indonesia rose by 2,385 within one day to 1,736,670, with the death toll adding by 144 to 47,967, the Health Ministry said on Saturday. According to the ministry, 4,181 more people were discharged from hospitals, bringing the total number of recovered patients to 1,597,067. The virus has spread to all the country’s 34 provinces. Specifically, within the past 24 hours, West Java recorded 723 new cases, Central Java 248, Jakarta 227, Riau Islands 190 and East Java 183.

Hong Kong researchers find early COVID-19 mutant strain with characteristics of attenuated vaccine -- The University of Hong Kong announced on Friday that its research team had found a mutant strain of COVID-19 at the early phase of the pandemic with the characteristics of an attenuated vaccine, bringing a major breakthrough in the further development of related vaccines. In the study with hamsters, researchers from the State Key Laboratory of Emerging Infectious Diseases of the university found that the mutant strain of SARS-CoV-2, the virus that causes COVID-19 and loses the basic amino acid motif, is almost non-pathogenic to hamsters. Hamsters that have been infected with the mutant virus can completely resist the re-infection of the wild-type virus, suggesting that this non-pathogenic mutant strain of the SARS-CoV-2 has the characteristics of an attenuated vaccine, the study revealed. The research also found that in human cell culture, the virus with the mutant strain has a reproductive rate even higher than that of the prototype virus, which is of great significance for the preparation of inactivated vaccines from the new coronavirus. According to the researchers, findings of the study also suggested that the SARS-CoV-2 coronavirus is a cross-species event of infection from animals. Chen Honglin, a professor from the university’s department of microbiology and also a member of the research team, said the study indicated that the SARS-CoV-2 coronavirus is still in the process of adapting to humans, and more mutant strains will occur in the COVID-19 pandemic. “At the same time, the mutant virus that loses the basic amino acid of the spike protein has low pathogenicity and higher reproductive ability in cultured cells than the original wild-type virus, and is an ideal strain for use in the production of inactivated vaccine,” Chen said. These findings have recently been published in the science journal Nature Communications.

 Modern-Day Diets Are Changing Human Chemistry, Study Finds -"Tell me what you eat, and I shall tell you what you are," the French lawyer Jean Anthelme Brillat-Savarin wrote in his 1826 opus, Physiologie du Goût. This is quite literally the case, scientists decoding the human body have found.Now, an analysis of chemical signatures in human hair and nails shows that as more of our food is mass-produced, we are beginning to "look" increasingly similar. If not in the flesh, then in the bones."Reliance on international food distribution and industrial agriculture has changed the chemistry of the entire human race," said Michael Bird, first author of a recent paper in the journal Proceedings of the National Academy of Sciences. Only communities that rely on subsistence agriculture have bucked the trend, the paper found. This change is especially true for urbanized and wealthier communities. In nations where annual per capita income exceeds $10,000, supermarkets supply most of the food. Another hallmark of the modern diet is the reliance on wheat, maize, rice, and a handful of other starchy cereals. Archaeologists routinely draw conclusions about past diets from skeletal remains. Bird and his collaborators analyzed hair and nail samples from present-day populations and compared them with archaeological data on the diets of people living before 1910. It was around this time that synthetic nitrogen fertilizer, one of the pillars of industrial farming, came into widespread use.The researchers looked specifically at the ratio of different isotopes of nitrogen and carbon found in corporal remains. Isotopes are versions of the same element that differ in mass. By studying these ratios, scientists can draw conclusions about the food that people eat. In the case of nitrogen-based fertilizers, the proportion of nitrogen isotopes reflects their ratio in the atmosphere, not what would exist in naturally fertile soils. When nitrogen-fixing microbes extract nitrogen from the atmosphere, it yields a different ratio of the two isotopes than chemical fertilizer. For folks buying food at mega marts supplied by factory farms, nitrogen isotope values across populations are in general lower and lie within a narrower band.   Carbon isotopes, in turn, shed light on what kinds of foods people consume: a diet rich in corn or one where rice is a staple will leave behind a different carbon isotope signal in human tissue. The range of values for carbon isotopes has also shrunk today, the analysis found, because we're eating similar kinds of food.

Forever Chemicals Found in U.S. Mothers' Breast Milk --A study published in Environmental Science and Technology Thursday tested the milk of 50 U.S. mothers and found that every sample was contaminated with per- and polyfluoroalkyl substances (PFAS). What's more, the chemicals were found at nearly 2,000 times the levels considered safe by environmental health groups, The Guardian reported. "The study shows that PFAS contamination of breast milk is likely universal in the U.S., and that these harmful chemicals are contaminating what should be nature's perfect food," study co-author and Toxic-Free Future science director Erika Schreder told The Guardian. PFAS are a class of chemicals that are used in a variety of consumer products because they are stain, grease, and water resistant, a Safer Chemicals, Healthy Families press release explained. They turn up in everything from food packaging to clothing to carpeting and have been linked to cancer, high cholesterol, liver damage, pregnancy-induced hypertension, fertility problems, thyroid disease and a weakened immune system.Companies have begun to phase out older PFAS and replace them with newer versions that they say do not build up in the human body. The new study gives the lie to those claims. The research was the first to analyze U.S. breast milk for PFAS since 2005. It tested for 39 different chemicals, including nine that are currently in use, and found that both newer and phased-out chemicals were present in the samples. PFAS were found at levels ranging from 52 parts per trillion (ppt) to more than 500 ppt. To put that in perspective, the Environmental Working Group (EWG) recommends a limit of one ppt indrinking water while the Department of Health and Human Services' Agency for Toxic Substances and Disease Registry suggests 14 ppt for children's drinking water, The Guardian pointed out. "These findings make it clear that the switch to newer PFAS over the last decade didn't solve the problem," study co-author and Indiana University associate research scientist Dr. Amina Salamova said in the press release. "This study provides more evidence that current-use PFAS are building up in people. What this means is that we need to address the entire class of PFAS chemicals, not just legacy-use variations." Further, the international breast milk data from 1996 to 2019 shows that, while the concentration of older chemicals is decreasing, the incidence of newer chemicals is doubling every 4.1 years.

Food Dyes Linked to Attention and Activity Problems in Children - Synthetic dyes used as colorants in many common foods and drinks can negatively affect attention and activity in children, according to a comprehensive review of existing evidence published this month by the California Office of Environmental Health Hazard Assessment (OEHHA). Funded by the California legislature in 2018, the new report involved a literature review, scientific symposium for experts, peer review process, and public comment period. Its conclusions about the behavioral effects of food dyes are grounded in the results of 27 clinical trials in children performed on four continents over the last 45 years, as well as animal studies and research into the mechanisms through which dyes exert their behavioral effects.Food dyes in products such as breakfast cereals, juice and soft drinks, frozen dairy desserts, candies, and icings were linked to adverse neurobehavioral outcomes in children including inattentiveness, hyperactivity, and restlessness. Animal studies also revealed effects on activity, memory, and learning.   Lisa Lefferts, a senior scientist with the Washington, D.C.-based nonprofit Center for Science in the Public Interest,  published her own report on the link between synthetic food dyes and behavioral problems in children in 2016. In it she called for the U.S. Food and Drug Administration (FDA) to either revoke approvals for all food dyes or institute a federal labeling rule. The European Union enacted such a law in 2010 that requires most dyed foods to bear a label warning consumers that food colorings "may have an adverse effect on activity and attention in children." In response, many food manufacturers reformulated their products for the European market to avoid the dyes, and thus the label. But many left the dyes in their products for the U.S. market, where awareness of the issue has remained low, said Lefferts. "In our experience, most consumers have no idea that something that is allowed in the food supply by the FDA could trigger adverse behaviors," she told EHN.

Chemical giants hid dangers of ‘forever chemicals’ in food packaging - Chemical giants DuPont and Daikin knew the dangers of a PFAS compound widely used in food packaging since 2010, but hid them from the public and the Food and Drug Administration (FDA), company studies obtained by the Guardian reveal. The chemicals, called 6:2 FTOH, are now linked to a range of serious health issues, and Americans are still being exposed to them in greaseproof pizza boxes, carryout containers, fast-food wrappers, and paperboard packaging. The companies initially told the FDA that the compounds were safer and less likely to accumulate in humans than older types of PFAS, also known as “forever chemicals” and submitted internal studies to support that claim. But Daikin withheld a 2009 study that indicated toxicity to lab rats’ livers and kidneys, while DuPont in 2012 did not alert the FDA or public to new internal data that indicated that the chemical stays in animals’ bodies for much longer than initially thought. Science from industry, the FDA and independent researchers now links 6:2 FTOH to kidney disease, liver damage, cancer, neurological damage, developmental problems and autoimmune disorders, while researchers also found higher mortality rates among young animals and mothers exposed to the chemicals. Had the FDA seen the data, it is unlikely that it would have approved 6:2 FTOH, said Maricel Maffini, an independent researcher who studies PFAS in food packaging. And though Daikin may have broken the law, it and DuPont, which has previously been caught hiding studies that suggest toxicity in PFAS, are not facing any repercussions. “Those things shouldn’t happen, and if they do then there should be consequences, but oversight is lax,” Maffini said. In 2020, the FDA reached agreements with some major PFAS manufacturers to voluntarily stop using 6:2 FTOH compounds in food packaging within five years. But documents show that the FDA first became aware of DuPont’s hidden study in 2015, and public health advocates say a 10-year timeline to reassess and remove the chemical is unacceptable.

A Pesticide Linked to Brain Damage in Children Could Finally Be Banned -- A federal appeals court has ruled that unless the Environmental Protection Agency (EPA) can prove that the pesticide chlorpyrifos is safe, it must be banned. The chemical, which has been widely used on agricultural crops for more than 50 years, has been linked to neurological development issues in children, with mounting evidence implicating its role in autism, ADHD, motor skills and loss of IQ. In the 2-to-1 ruling on April 29, judges on the U.S. Court of Appeals for the 9th Circuit gave the federal government 60 days to either rescind all uses of chlorpyrifos related to food or to show evidence that in certain cases it is safe for public health. In the majority opinion in the case League of United Latin American Citizens v. Regan, which was filed in 2007, Judge Jed Rakoff, a Clinton appointee, wrote, "[T]he EPA has spent more than a decade assembling a record of chlorpyrifos's ill effects and has repeatedly determined, based on that record, that it cannot conclude, to the statutorily required standard of reasonable certainty, that the present tolerances are causing no harm," adding that "EPA's egregious delay exposed a generation of American children to unsafe levels of chlorpyrifos." Rakoff was joined by Judge Jacqueline Nguyen, an Obama appointee."Yet, rather than ban the pesticide or reduce the tolerances to levels that the EPA can find are reasonably certain to cause no harm, the EPA has sought to evade, through one delaying tactic after another, its plain statutory duties," Rakoff wrote in the opinion, in which he stopped short of requiring the agency to ban the chemical, but left little room to keep it on the market. "The EPA must act based upon the evidence and must immediately revoke or modify chlorpyrifos tolerances." Pregnant women and their fetuses, young children and farmworkers are particularly at risk from chlorpyrifos, which was first registered for use in 1965. "There are numerous studies showing that exposure to chlorpyrifos in the womb harms children's brain development," said Dr. Warren Seigel, chair of New York State American Academy of Pediatrics. "The science is clear, and this pesticide should have been banned years ago." The ruling comes nearly two years after the Trump administration rejected a proposed Obama-era ban of the controversial pesticide, keeping it on the market despite aggressive calls against its continued use by public health and environmental groups. The Trump EPA decision, made in July of 2019, was a major gift to Dow Chemical, the maker of the pesticide, in what appeared as an act of quid pro quo. On December 6, 2016, less than a month after Trump's election, the agrochemical giant donated $1 million to his inaugural committee.

Ingredient in common weed killer impairs insect immune systems, study suggests - The chemical compound glyphosate, the world's most widely used herbicide, can weaken the immune systems of insects, suggests a study from researchers at the Johns Hopkins Bloomberg School of Public Health. Glyphosate is the active ingredient in Round Up™, a popular U.S. brand of weed killer products. The researchers investigated the effects of glyphosate on two evolutionarily distant insects, Galleria mellonella, the greater wax moth, and Anopheles gambiae, a mosquito that is an important transmitter of malaria to humans in Africa. They found that glyphosate inhibits the production of melanin, which insects often use as part of their immune defenses against bacteria and parasites; it thereby reduces the resistance of these species to infection by common pathogens. The findings were published online May 12 in in PLoS Biology. "The finding that glyphosate appears to have an adverse effect on insects by interfering with their melanin production suggests the potential for a large-scale ecological impact, including impacts on human health," "Our results show unexpected effects from a widely used herbicide, and alert us to the fact that spreading these chemicals in the environment may have unintended consequences," The idea that human products and activities can inadvertently disrupt surrounding animal populations through the use of ordinary household or industrial chemicals is by now widely accepted. In recent years, apparent declines in some insect populations have led to concerns among scientists that other common chemicals, including glyphosate, may also be causing harmful disruptions to ecosystems. Prior research suggests that glyphosate may have adverse effects on honeybees and other insect species, linking the effect to oxidation or disrupting gut bacteria, but scientists haven't investigated additional adverse effects that could occur. In 2001, Casadevall and colleagues found that glyphosate can weaken fungi by inhibiting their production of melanin, a compound that helps pathogenic fungi resist the immune systems of animals they infect.

Bayer-Monsanto Fails (At First Attempt) to Block Mexico’s Phaseout of Glyphosate and Ban on GMO Corn - Mexico has already gone mano a mano with Monsanto before, and it came out on top. But this time it’s on direct collision course with the U.S. government. Life used to be a whole lot easier for German pharmaceutical and crop science company Bayer. But that was before it bought the scandal-tarnished US GMO giant Monsanto for $66 billion. And it has paid a heck of a price. Now worth just $53 billion — $13 billion less than what it paid for Monsanto in 2018 — Bayer has faced tens of thousands of lawsuits claiming that Monsanto’s Roundup weed killer caused non-Hodgkin’s lymphoma. The German company has agreed to pay as much as $11.5 billion to resolve existing US litigation.It has also proposed to pay a further $2 billion into a fund that would cover people who’ve been using Roundup but haven’t yet developed non-Hodgkin lymphoma, or just haven’t filed a lawsuit yet. But it also continues to reject claims that Roundup causes cancer even as new lawsuits pile up against it. And it wants to assemble its own panel of expert scientists — as opposed to an independent jury — to rule on the viability of those future claims, which is hardly in the interest of those filing the claims.As all this is going on, a growing list of countries, states and cities around the world are banningRoundup. They include Mexico, whose government issued a presidential decree on December 31 phasing out the use of the herbicide glyphosate, Roundup’s active ingredient, and banning the cultivation and importation of genetically modified (GM) corn. After pulling a few strings, Bayer was able to win a temporary reprieve from the government’s planned three-year phase out of the herbicide. But that decision has now been overturned by Mexico’s Collegiate Court.Bayer insists there’s nothing wrong with the herbicide: “Glyphosate is safe and hundreds of scientific studies support that,” the company said in a recent statement, citing its more than four-decade track record in Mexico.But Mexico’s Ministry of the Environment (Semarnat), formerly a strong advocate of GMOs, is  having none of it. The ministry already began restricting imports of glyphosate in 2019, citing the precautionary principle. Glyphosate, it says, has proven to be extremely harmful to both human health and the environment. It has also been classified as “probably carcinogenic to humans” by the World Health Organization (WHO).  To justify its new import ban, Mexico’s government cites the threat of GMO products to human health as well as the risk of contamination of native corn varieties. But there’s another motive at work here: to advance the AMLO administration’s goal of achieving greater food self-sufficiency by promoting domestic corn production. And that puts it on direct collision course with Big Ag and the US government.

Genetically Modified Mosquitoes Were Released In Florida - Environmentalist groups have been warning about the danger of releasing genetically modified mosquitoes into the wild for years, but a plan to release the GM insects in the United States for the first time is scheduled to continue as planned. Millions of GM mosquitoes will be released in the Florida Keys as a part of a pilot program that officials hope will reduce the spread of diseases like dengue, yellow fever, and the Zika virus. The unprecedented release is being orchestrated by the British-based biotechnology firm Oxitec, and the Florida Keys Mosquito Control District (FKMCD), according to Reuters.. The project hopes to reduce the prevalence of the Aedes aegypti species, which is responsible for spreading many infections diseases. On May 1st, the US Environmental Protection Agency (EPA) granted an experimental use permit to Oxitecon for the release of the mosquitoes. While regulators have signed off on the program and are confident of its safety, local residents are obviously very concerned about these insects being released in their back yards. The plan has already been set into motion, and some of the insects have already been released. Oxitec opened about 6 boxes containing the OX5034 modified mosquito in the Florida Keys last week. In theory, these genetically modified male mosquitos will mate with wild females, and their genetics will cause the children to die, which they hope will lead to a total collapse of the wild population. However, there are also many different things that can go wrong with this type of live experiment, and there is growing concern among scientists that this technology may not be ready for deployment. Many experts have also suggested that the risks have not been studied thoroughly enough. Some scientists are warning about the potential unintended consequences that can come from unleashing such insects into the wild. For example, researchers are entirely unaware of what type of allergic reactions that these insects could cause if they interact with people.

USDA May Allow Genetically Modified Trees to Be Released Into the Wild - On August 18, 2020, the U.S. Department of Agriculture (USDA) published a petition by researchers at the State University of New York College of Environmental Science and Forestry (ESF) seeking federal approval to release their genetically engineered (GE) Darling 58 (D58) American chestnut tree into U.S. forests. Researchers claim the transgenic D58 tree will resist the fungal blight that, coupled with rampant overlogging, decimated the American chestnut population in the early 20th century. In fact, the GE American chestnut is aTrojan horse meant to open the doors to commercial GE trees designed for industrial plantations.The D58 would be the first GE forest tree approved in the U.S. and the first GMO intended to spread in the wild. (GE canola plants were discovered in the wild in 2010 but that was unplanned.) "This is a project to rapidly domesticate a wild species through genetic engineering and accelerated breeding, and then to put it back into ecosystems to form self-perpetuating populations—an intentional evolutionary intervention that has never been attempted before with any species," explain scientists at the Center for Food Safety (CFS) and International Center for Technology Assessment (ICTA), which are nonprofits based in Washington, D.C."The Southern U.S. is global ground zero for the forest products industry and we see genetically engineered chestnut trees as this industry's sneaky way of opening the floodgates for 'frankentrees' that will harm forests, biodiversity and local communities across the region," explains Scot Quaranda of Dogwood Alliance, a nonprofit based in North Carolina that works to protect Southern U.S. forests. "Our natural forests that support wildlife and the economic sovereignty of rural communities will rapidly be replaced with tree plantations for wood pellets, paper and more, leaving environmental and climate injustice in their wake." The GE American chestnut faces an uphill battle due to decades of opposition to GE trees by Indigenous peoples, scientists, students, activists, foresters and others, including a GE tree ban by the Forest Stewardship Council and a United Nations decision that warns countries of the dangers of GE trees and urges use of the precautionary principle while addressing the issue.

Many do not recognize animal agriculture's link to infectious diseases - New research led by the University of Kent has found that people fail to recognise the role of factory farming in causing infectious diseases. The study published by Appetite demonstrates that people blame wild animal trade or lack of government preparation for epidemic outbreaks as opposed to animal agriculture and global meat consumption. Scientists forewarned about the imminence of global pandemics such as Covid-19, but humankind failed to circumvent its arrival. They had been warning for decades about the risks of intensive farming practices for public health. The scale of production and overcrowded conditions on factory farms make it easy for viruses to migrate and spread. Furthermore, the common practice of feeding antibiotics to farmed animals promotes antimicrobial resistance, threatens public health. With the focus now on the need to prevent future pandemics and zoonotic diseases, it is critical that there is more understanding on the causes and risks posed by animal agriculture. Findings show that as well as failing to recognise the detrimental role of factory farming, those who are highly committed to eating meat struggle to acknowledge global meat consumption as a link to the problem. Even after reading about the risks of factory farms in the spread of disease, committed meat eaters were still less convinced of policies to change or ban factory farming than of policies aimed at better preparing for pandemics. Yet, when reading the same information about wild animal markets, they endorsed policies to reduce, regulate, or ban wild animal markets. Dr Dhont said: 'As world populations swell, our dependence upon meat is likely to grow, making it increasingly pressing to come to grips with the detrimental role of intensive farming and take action to turn the tide. Undoubtedly, humankind needs to be better prepared to handle infectious disease outbreaks - which we are edging closer towards. However, it is vital to identify and uproot the causes of infectious diseases.

Farms' air pollution contributes to almost 18K deaths in US annually: study - Farming-related pollution leads to nearly 18,000 deaths a year in the U.S., according to a new study published Monday. Reduced air quality from the agriculture industry results in 17,900 deaths annually, with ammonia accounting for 69 percent of those deaths, researchers wrote in the study published in the Proceedings of the National Academy of Sciences. Many of the deaths occurred in California, North Carolina, Pennsylvania and the upper Midwest "Corn Belt," researchers found, noting that about 80 percent of the deaths are related to pollution from animal agriculture. Such pollutants are much more loosely restricted under the Clean Air Act than comparable pollutants from sources such as vehicles and factories. “We find that improvements in agricultural production, such as changing livestock feed practices to reduce the amount of excess protein ingested and therefore excreted as nitrogen, or using fertilizer amendments and inhibitors, can greatly reduce air quality–related health damages,” the study’s conclusion stated. “Implementing measures to reduce agricultural emissions across all producers could prevent 7,900 deaths per year (50% of total deaths from food production).” Researchers wrote that the most substantial benefits could come from altering livestock waste management and fertilizer application procedures, projecting that 3,600 deaths a year could be prevented by producer-side interventions in only the top 10 percent of counties with high death rates from pollution. The study also makes recommendations for demand-side interventions that could reduce risks, particularly reduced consumption of meat. Substitution of poultry in place of red meat could prevent more than 6,000 deaths a year, according to the study. Environmentalists and sustainability advocates have frequently pointed to meat production as a major source of greenhouse gas emissions, with Microsoft founder Bill Gates saying in February that “all rich countries should move to 100% synthetic beef.”

Air pollution from farms leads to 17,900 U.S. deaths per year, study finds - The smell of hog feces was overwhelming, Elsie Herring said. The breezes that wafted from the hog farm next to her mother’s Duplin County, N.C., home carried hazardous gases: methane, ammonia, hydrogen sulfide.  “The odor is so offensive that we start gagging, we start coughing,” she told a congressional committee in November 2019. Herring, who died last week, said she and other residents developed headaches, breathing problems and heart conditions from the fumes.  Now, a first-of-its-kind study shows that air pollution from Duplin County farms is linked to roughly 98 premature deaths per year, 89 of which are linked to emissions directly caused by hogs. Those losses are among more than 17,000 annual deaths attributable to pollution from farms across the United States, according to research published today in the Proceedings of the National Academy of Sciences.  Animal agriculture is the worst emitter, researchers say, responsible for 80 percent of deaths from pollution related to food production. Gases associated with manure and animal feed produce small, lung-irritating particles capable of drifting hundreds of miles. These emissions now account for more annual deaths than pollution from coal power plants. Yet while pollution from power plants, factories and vehicles is restricted under the Clean Air Act, there is less regulation of air quality around farms. “The food system has really flown under the radar” as a source of deadly pollution, said University of Minnesota professor Jason Hill, the lead author of the new report. “But what we eat affects not just our own health, but the health of others. We’re showing that directly.”  Jim Monroe, a spokesman for the National Pork Producers Council, criticized the study as “highly suspect,” saying it “irresponsibly draws conclusions based on modeling and estimates.” A spokesman for Smithfield Foods, which operates industrial hog operations in Duplin County, referred The Washington Post to a 2019 report in which the North Carolina Department of Environmental Quality said it did not find significant air-quality problems in the region. This is the first major report to link air-pollution deaths to specific food items, Hill said. While greenhouse gases cause the same amount of warming no matter where on the planet they’re produced, the health effects of air pollution are dependent on atmospheric chemistry, local weather, and the size and health of communities living nearby. Only with advanced new air-quality models has it become possible to pinpoint the consequences of pollution produced hundreds of miles away.

Video Reveals Water Contamination, 'Brazen Disregard' for Amazon by 'Sustainable' Palm Oil Industry --During 18 months, Mongabay investigated allegations challenging the "sustainable" status of the Brazilian palm oil supply chain, revealing impacts including deforestation and water contamination, and what appears to be an industry-wide pattern of brazen disregard for Amazon conservation and for the rights of Indigenous people and traditional communities in northern Pará state.In this behind-the-scenes video, Mongabay's contributing editor in Brazil, Karla Mendes, takes us on her reporting journey as she and the team track how the palm oil industry is changing this Amazonian landscape. Behind the scenes: Reporting on palm oil expansion in the Brazilian Amazon – YouTube Karla herself experienced a rapid onset of coughing, shortness of breath, nausea and headaches when she inhaled fumes from these oil palm trees doused with pesticides. "I came back to the car because the smell is very strong. I started coughing, it's horrible," she says. The Mongabay team also witnessed a wide range of wrongdoing, including the dumping of alleged palm oil residue in the Acará River and the lack of a buffer zone around Indigenous reserves, which are all surrounded by oil palm plantations. The Mongabay investigation will be used by federal prosecutors as evidence to hold a palm oil company accountable for water contamination in the Turé-Mariquita Indigenous Reserve. The biggest news portal in Brazil, UOL, picked up the Mongabay story, and Karla was also interviewed by the BBC about her investigation.  Read the full investigative report here: Déjà vu as palm oil industry brings deforestation, pollution to Amazon

Amazon Deforestation Jumps Sharply in April -- Deforestation in the Brazilian Amazon surged during the month of April, ending a streak of three consecutive months where forest clearing had been lower than the prior year. The rise in deforestation came despite a high-profile pledge from Brazilian President Jair Bolsonaro to rein in deforestation in Earth's largest rainforest. According to preliminary deforestation alert data released Friday by Brazil's national space research institute INPE, deforestation in the Brazilian portion of the Amazon amounted to 581 square kilometers in April, a 43% increase over April 2020 and the highest April tally since 2018. However, by INPE's count, deforestation is still pacing behind last year's rate: When measured since the start of the "deforestation year" — which begins August 1 — 4,640 square kilometers of rainforest has been lost, a decline of 15% for the nine-month period. But the trend reported by INPE is not matched by data from Imazon, a Brazilian organization that independently monitors deforestation. Imazon's data shows eight straight months of rising deforestation: Through the end of March, Imazon puts forest loss as 33% above last year's level. The discrepancies between the systems can generally be chalked up to the different methodologies they use. And both systems generate "preliminary data" which is used primarily for tracking where deforestation is occurring on a near-real-time basis, rather than comprehensively documenting forest loss. The annual assessment, which uses higher resolution imagery and measures loss between August 1 and July 31, is considered the official baseline., Using that approach, deforestation for the 2019-2020 year amounted to 11,088 square kilometers,the highest on record since 2008. Deforestation has accelerated sharply since Bolsonaro took office January 1, 2019. Based on deforestation alert data, forest clearing during his administration to date is about 98% higher than the same period of time under his predecessor, and 206% higher than Dilma Rousseff's first 16 months in office.

U.S. Lumber Importers Drive Buying Mania for European Wood -- Facing skyrocketing lumber prices at home, U.S. importers are driving competition for European wood, and winning.The frenzy comes on the heels of record American forest-products imports from Europe in 2020, when North American demand soared and caught sawmills off guard with low inventories. Lumber prices have reached new peaks on a near daily basis in recent weeks, quadrupling from just a year ago. The unprecedented rally has been spurred by low borrowing rates, an increased appetite for larger homes, and a frenzy of do-it-yourself renovations during the pandemic.Unrelenting building demand means U.S. sawmills have been unable to catch up, causing suppliers to look to Europe for a reprieve as it is one of the few parts of the globe with a surplus due to a beetle infestation that killed large swaths of trees that must now be harvested. Voracious U.S. demand means beetle-killed wood in Europe could sell faster than expected, though international shipping and U.S. trucking constraints limit supply chain capabilities.“The other markets are getting pulled up by the U.S.,” said Geoff Berwick, vice president of business development at Atlantic Forest Products.Berwick has been importing lumber from Europe since 1999 and his job has never been easier, he said. Customers tell him: “Get me covered and let me know what it’s going to cost.” Normally, prices are negotiated.The buying power of lumber importers in the U.S. is strengthened by home builders’ willingness to pay up, as project costs rise by the hour on some days. The cost of lumber for the average U.S. house has increased by nearly $36,000 over the last year, according to the National Association of Home Builders. The U.S. continues to buy the biggest share of its foreign forest products from Canada, but imports from the European Union reached an all-time high in 2020, nearly tripling 2019’s amount. The biggest jump from European countries came from Sweden, which rose a dizzying 1,300%. Imports from Europe remained strong in the first three months of 2021, up 37% from the same period a year ago, USDA Foreign Agricultural Service data show.

 Urban traffic noise causes song learning deficits in birds - Traffic noise leads to inaccuracies and delays in the development of song learning in young birds. They also suffer from a suppressed immune system, which is an indicator of chronic stress. A new study by researchers of the Max Planck Institute for Ornithology and colleagues shows that young zebra finches, just like children, are particularly vulnerable to the effects of noise because of its potential to interfere with learning at a critical developmental stage. Traffic noise is a pervasive pollutant that adversely affects the health and well-being of millions of people. In addition to severe noise-induced diseases in adults, traffic noise has also been linked to learning impairments and language deficits in children. In order to analyse the causal mechanisms connecting chronic noise exposure to cognitive deficiencies, researchers of the Max Planck Institute for Ornithology with colleagues at the University of Paris Nanterre and the Manchester Metropolitan University studied the song learning and immune function of young zebra finches exposed to traffic noise. Like children, songbirds must learn their vocalizations from adult tutors during a sensitive period early in life. Under normal conditions, the songs of the finches become stable and stereotyped at an age of around 90 days, and remain the same for the rest of their adult life, a process called "crystallization". The researchers found that juvenile zebra finches exposed to realistic levels of city noise had weaker immune responses than chicks from quiet nests, suggesting that noise was a source of chronic stress in these young birds. Furthermore, the birds in the noise treatment were significantly delayed in their vocal development - crystallizing their songs more than 30% later than controls, and with significantly lower accuracy in their song learning.

Doctors raise concerns about bone scans required for claims in the Flint water settlement -- Doctors continue to voice their concerns about the use of a portable bone scanning device required for Flint, Michigan, residents to qualify for compensation in the $641.25 million Flint water crisis settlement. In order to qualify for more than $1,000 per household, residents must prove they have lead in their bodies by having their bones scanned by a device not made or approved for use in humans. Lead is a dangerous neurotoxin, which cannot be removed from the body and has serious life-long implications for both children and adults. The portable bone scanner being used is a modified XRF fluorescence device that was originally manufactured to detect lead and other metals in scrap metal, walls, soil and other inanimate objects. The device is not manufactured to be used on humans, nor has it been approved by the FDA for use on humans. The only location available to Flint residents to have the bone test administered is at the Flint Township offices of the law firm Napoli-Shkolnik, which has the sole ownership of the device and is charging $500 per test. The law firm was appointed by US District Judge Judith Levy as the co-liaison counsel and has the majority of clients in the suit. Several residents who were tested told the World Socialist Web Site that the dangers of radiation, particularly in children and pregnant women, were not explained. The wording on the forms deliberately downplays any dangers. To get the test, residents must sign to the following: “I understand this is not a medical test, and not for the purposes of diagnosis or treatment … that the test involves some exposure to radiation, but no more than a typical x-ray.”( Emphasis added.) Dr. Lawrence Reynolds (Kids’ Health Connections Facebook page) Dr. Lawrence Reynolds, a Flint pediatrician with 42 years of experience, told the WSWS, “Nowhere on the consent form does it state ‘this equipment was not made for use on humans.” Furthermore, according to Dr. Reynolds, the Thermo Fisher XRF Fluorescence analyzer was modified by Aaron Specht, a research physicist from Harvard whose studies and research are cited by Napoli-Shkolnik, “but who for his part has refused to disclose the modifications he made to the original XRF device to his peers.”

  Chicago Mayor Delays Permit for Polluting Facility in Disadvantaged Neighborhood - Chicago mayor Lori Lightfoot indefinitely delayed a permitting decision on the relocation of a highly polluting metal shredding and recycling facility after the U.S. EPA said doing so could violate the civil rights of Black and Latino people who live there.  Research Management Group, which acquired the General Iron facility in 2019, is seeking to relocate it from the white and wealthy North Side neighborhood of Lincoln Park to a predominantly Black and Latinx community on the Southeast Side already plagued by numerous polluting industries.  "When you take a company that has a terrible track record from a predominantly white and wealthy community to a community that is majority Latino and Black, then you're sending a strong message that you value certain people over others," Olga Bautista, a member of the Southeast Environmental Task Force, who organized against General Iron's move to the Southeast Side, told WGN.The delay of the General Iron permit is a major victory for neighborhood and environmental justice groups that fought to protect Southeast Side communities from yet another source of industrial pollution — a campaign that included hunger strikes — but organizers said much more is needed."Until we have the right policies in Chicago, we are all getting ready, taking this moment to catch our breaths and getting ready to work with the city to stop any companies trying to move in that don't have our health in mind," Bautista said.

New Ohio law allows falconers to use owls for hunting —Ohio falconers will soon be allowed to use owls to hunt for small game, under legislation signed into law Tuesday by Gov. Mike DeWine.  Under Senate Bill 28, which takes effect in 90 days, the 110 or so Ohioans with a state-issued falconry permit can use owls for hunting animals such as rabbits and squirrels. To become a licensed falconer in Ohio, people must be 16 years old or older, pass a written test, complete a two-year apprenticeship, and keep proper housing and equipment for their birds, among other requirements.

 18 Endangered Elephants Found Dead in Indian Forest Preserve - Authorities in India are investigating after at least 18 Asian elephants died mysteriously in a protected area in the northeastern state of Assam.Authorities believe a lightning strike is to blame for the deaths which mark the first time in 20 years that so many elephants have died in Assam at once, as BBC News reported."Deeply pained by the death of 18 elephants last night due to massive thunderstorm under Kothiatoli Range in Nagaon," Assam Minister of Excise, Forest & Environment and Fisheries Parimal Suklabaidya tweeted in response to the deaths.The mystery began Thursday when villagers found 14 elephants dead in the Kundoli reserve forest, as Al Jazeera reported. The bodies of four additional elephants were found scattered around the foothills of the reserve, local wildlife official MK Yadava said. Five of the elephants killed were calves, wildlife official Jayanta Goswami told The AP.The deaths followed lightning strikes late Wednesday, and a local forest ranger said he had seen burnt trees in the area, according to Al Jazeera. Veterinarians on the scene also said that lightning was the likely cause of death, The AP reported. However, not all wildlife advocates agree, and officials say they are conducting an autopsy to make sure.

Water Wells at Risk of Going Dry in the U.S. and Worldwide - As the drought outlook for the Western U.S. becomes increasingly bleak, attention is turning once again to groundwater – literally, water stored in the ground. It is Earth's most widespread and reliable source of fresh water, but it's not limitless.Wells that people drill to access groundwater supply nearly half the water used for irrigated agriculture in the U.S. and provide over 100 million Americans with drinking water. Unfortunately, pervasive pumping is causing groundwater levels to decline in some areas, including much of California's San Joaquin Valley and Kansas' High Plains.We are a water resources engineer with training in water law and a water scientist and large-data analyst. Ina recent study, we mapped the locations and depths of wells in 40 countries around the world and found that millions of wells could run dry if groundwater levels decline by only a few meters. While solutions vary from place to place, we believe that what's most important for protecting wells from running dry is managing groundwater sustainably – especially in nations like the U.S. that use a lot of it.  Humans have been digging wells for water for thousands of years. Examples include 7,400-year-old wells in the Czech Republic and Germany, 8,000-year-old wells in the eastern Mediterranean, and 10,000-year-old wells in Cyprus. Today wells supply 40% of water used for irrigation worldwide and provide billions of people with drinking water. Groundwater flows through tiny spaces within sediments and their underlying bedrock. At some points, called discharge areas, groundwater rises to the surface, moving into lakes, rivers and streams. At other points, known as recharge areas, water percolates deep into the ground, either through precipitation or leakage from rivers, lakes and streams.Groundwater can remain underground for days to millennia, depending on how deep it sinks, how readily it moves through rock around it and how fast humans pump it to the surface. Groundwater declines can have many undesirable consequences. Land surfaces sink as underground clay layers are compacted. Seawater intrusion can contaminate groundwater reserves and make them too salty to use without energy-intensive treatment. River water can leak down to underground aquifers, leaving less water available at the surface.

Bay Area under extreme drought and wildfire risk as California dry spell worsens, U.S. - The latest version of the federal United States Drought Monitor map has put much of California's San Francisco Bay area under the extreme drought, as of Thursday, May 6, 2021. The dry conditions also placed almost 3.7 million ha (9.3 million acres) of land under extreme wildfire risk, which is 130 percent higher than the five-year average. "The second-highest level of drought covers just about all of our neighborhood, only that small sliver in northern Mendocino County remains in severe'. It's not just here," said ABC7 News Meteorologist Mike Nicco, who described the situation as "unfortunate, but not a surprise." "The entire state saw that 'extreme' category goes from 53 percent to nearly 73 percent," he added. "Nearly three-fourths of our wonderful, beautiful state is now suffering in the second-highest level of drought." Richard Heim, a meteorologist for the National Oceanic and Atmospheric Administration and one of the authors of the recent map, also noted that the drought is "no surprise, especially in Northern California," as the state has seen consecutive dry winters, with the last season being the third driest on record. The map classified the drought levels on a color-coded scale, from yellow or abnormally dry to maroon or exceptional drought. The April 29 map showed the most severe conditions forming along the southern border with Nevada and Arizona, with red code or extreme drought covering much of California's southern and northern areas, and orange or severe drought spreading across much of the rest of the state.Aside from the dry conditions, the Bay Area is also under extreme risk of wildfire, according to the AccuWeather 2021 Wildfire Risk Outlook. "So what does that mean? Record dry vegetation. It's going to continue to get drier and drier. Nearly 3.7 million ha (9.3 million acres) ould burn. That's 130 percent higher than the five-year average," said Nicco. "It's going to be a tough season. We need everyone to be prepared and vigilant," he warned, urging people to build defensible space and keep hot things away from dry vegetation.

Gavin Newsom declares drought across much of California | The Sacramento Bee --Gov. Gavin Newsom expanded his drought emergency declaration to 39 more counties Monday, underscoring the rapid deterioration of California’s water supply in recent weeks.The governor broadened his earlier drought order, which was limited to two counties on the Russian River, to cover most of parched California, which is plunging into its second major drought in less than a decade. The new order covers the Sacramento and San Joaquin river watersheds, the Tulare Lake basin region and the Klamath region in far Northern California. About 30% of the state’s population is now covered by the declarations, including the greater Sacramento area and Fresno, Merced and Stanislaus counties in the San Joaquin Valley. Newsom didn’t issue any mandatory drought conservation measures, as his predecessor Jerry Brown did during the last drought.  But such mandatory orders, which could force urban Californians to cut back on outdoor usage, “are on the table” if the state has another dry winter, said Natural Resources Secretary Wade Crowfoot.  Newsom issued the declaration shortly before arriving at San Luis Reservoir on the west side of Merced County, where he announced a proposal for a plethora of short- and long-term drought-assistance measures totaling $5.1 billion. If approved by the Legislature, his “drought and water resilience package” would be part of a $100 billion economic stimulus plan he announced earlier in the day in Oakland.  Some Newsom critics say he has been reluctant to declare a statewide drought for fear of angering voters with a recall election coming this fall. But hydrology is forcing the issue. Relatively little snowmelt — normally a big piece of the state’s summer and fall supply — reached California’s reservoirs.   The Sierra is producing “far less inflow into the reservoirs than any modeling would have predicted,” Crowfoot told The Sacramento Bee. “Much of the snowpack has melted into the ground.” Many of the major reservoirs, such as Folsom Lake and Lake Oroville, are just half as full as they normally are this time of year.  Crowfoot said the state has lost 500,000 acre-feet of water in the past few weeks, enough to supply as many as 1 million homes for a year.

California expands drought emergency to large swath of state (AP) — California Gov. Gavin Newsom on Monday expanded a drought emergency to a large swath of the nation’s most populous state while seeking more than $6 billion in multiyear water spending as one of the warmest, driest springs on record threatens another severe wildfire season across the American West. The Democratic governor said he is acting amid “acute water supply shortages” in northern and central parts of California as he called again for voluntary conservation. Yet the state is in relatively better shape than it was when the last five-year drought ended in 2017, he said, as good habits have led to a 16% reduction in water usage. His emergency declaration now includes 41 of 58 counties, covering 30% of California’s nearly 40 million people, and he said a further expansion is likely as conditions worsen. The U.S. Drought Monitor shows most of the state and the American West is in extensive drought just a few years after California emerged from the last punishing multiyear dry spell. “We’re staring down at what could be disastrous summer and fall, with the potential of communities running out water, and fires,” said Democratic U.S. Rep. Jim Costa, who accompanied Newsom to the announcement made before a Central Valley reservoir with a deep bathtub ring of dry earth surrounded by browning grass. Like most of the state’s extensive interconnected system of reservoirs and canals, the San Luis Reservoir is at less than 60% of its seasonal average as scarce winter rain and snow turns to a dry summer that Newsom said is imperiled by climate change. Officials fear an extraordinarily dry spring presages a wildfire season like last year, when flames burned a record 6,562 square miles (16,996 square kilometers). “The hots are getting a lot hotter in this state, the dries are getting a lot drier,” Newsom said. “We have a conveyance system, a water system, that was designed for a world that no longer exists.”

Dangerous Fire Season Looms as Drought-Stricken Western U.S Faces Water Crisis -- Just about every indicator of drought is flashing red across the western U.S. after a dry winter and warm early spring. The snowpack is at less than half of normal in much of the region. Reservoirs are being drawn down, river levels are dropping and soils are drying out.It's only May, and states are already considering water use restrictions to make the supply last longer. California's governor declared a drought emergency in 41 of 58 counties. In Utah, irrigation water providers are increasing fines for overuse. Some Idaho ranchers are talking about selling off livestock because rivers and reservoirs they rely on are dangerously low and irrigation demand for farms is only just beginning.Scientists are also closely watching the impact that the rapid warming and drying is having on trees, worried that water stress could lead to widespread tree deaths. Dead and drying vegetation means more fuel for what is already expected to be another dangerous fire season.U.S. Interior Secretary Deb Haaland and Agriculture Secretary Tom Vilsack told reporters on May 13, 2021, that federal fire officials had warned them to prepare for an extremely active fire year. “We used to call it fire season, but wildland fires now extend throughout the entire year, burning hotter and growing more catastrophic in drier conditions due to climate change," Vilsack said.  As climate scientists, we track these changes. Right now, about 84% of the western U.S. is under some level of drought, and there is no sign of relief.

Wildfires Are Contaminating Drinking Water Systems, and It’s More Widespread Than People Realize -- More than 58,000 fires scorched the United States last year, and 2021 is on track to be even drier. What many people don't realize is that these wildfires can do lasting damage beyond the reach of the flames – they can contaminate entire drinking water systems with carcinogens that last for months after the blaze. That water flows to homes, contaminating the plumbing, too. Over the past four years, wildfires have contaminated drinking water distribution networks and building plumbing for more than 240,000 people. Small water systems serving housing developments, mobile home parks, businesses and small towns have been particularly hard-hit. Most didn't realize their water was unsafe until weeks to months after the fire.The problem starts when wildfire smoke gets into the system or plastic in water systems heats up. Heating can cause plastics to release harmful chemicals, like benzene, which can contaminate drinking water and permeate the system.  Our new study identifies critical issues that households and businesses should consider after a wildfire. Failing to address them can harm people's health – mental, physical and financial.  When wildfires damage water distribution pipes, wells and the plumbing in homes and other buildings, they can create immediate health risks. A building's plumbing can become contaminated by smoke getting sucked into water systems, by heat damaging plastic pipes – or contamination penetrating into the plumbing and leaching out slowly over time. Since 2017, multiple fires have rendered drinking water systems unsafe, including the Echo Mountain,Lionshead and Almeda fires in Oregon, and the CZU Lightning Complex, Camp and Tubbs fires in California. Thousands of private wells have been affected too. Being exposed to contaminated water can cause immediate harm, such as headaches, nausea, dizziness and vomiting. Short-term exposure to 26 parts per billion or more of benzene, a carcinogen, may cause a decrease in white blood cells that protect the body from infectious disease. Multiple fires have caused drinking water to exceed this level. A variety of other chemicals can exceed safe drinking water exposure limits too in the absence of benzene.

Lake Cuitzeo, the second-largest lake in Mexico dries up - At the end of April 2021, drought conditions were covering 85 percent of Mexico. Numerous lakes and reservoirs have dried up, or are in the process of drying up, including the country's second-largest body of freshwater -- Lake Cuitzeo. Before the current drought, Lake Cuitzeo was Mexico's second-biggest lake, with an area of approximately 300 - 400 km2 (120 - 150 mi2), and the site of a thriving fishing economy in Michoacán. Now, this is a cemetery of abandoned fishing boats and a shortcut for motorists which creates frequent and prolonged dust clouds that reach municipalities 20 km (12.4 miles) away in Guanajuato. That affects the health of residents in nearby communities, causing allergies, respiratory illnesses, and gastrointestinal complications from the bacteria they transport, according to the State Health Ministry. The images below show Lake Cuitzeo on May 4, 2020, and May 4, 2021. The difference is staggering. According to Julieta Gallardo Mora, honorary president of a foundation committed to conserving the lake, its deterioration started in 1941, and authorities have made no effort to stop it. "The first blow was when the Cointzio dam was built in 1941, which meant that two-thirds of Lake Cuitzeo was removed," she said. The first noticeable impact was the disappearance of fish, starting with the choristoma, which is native to the lakes of Jalisco and Michoacán, followed by whitefish and other water life.

Water reservoirs drop to critical levels as Taiwan suffers worst drought on record - Taiwan’s water reservoirs have dropped to critical levels in May 2021 in what is now the country's worst drought in 56 years. The government has allotted money to explore new sources of water and is using geoengineering planes to dump cloud-seeding chemicals in hopes of triggering rain. The country's central regions are the worst affected, with water reservoirs currently below 10%. Rainfall in the seven months through February 2021 was less than half the historic average, after no significant rains hit Taiwan in 2020 for the first time in 56 years, according to the government. The country relies on seasonal typhoons to refill reservoirs, but last year no typhoon made landfall.Taiwan’s last drought occurred in 2015 when its reservoir levels dipped below 50% due to a lack of rain and forced the government to begin rationing water in April.But compared to 2015, this year's conditions are far more severe, Taiwanese CW reports. This year to date, Taiwan has received less than 800 mm (31.5 inches) of rain, causing the country's reservoir levels to drop down to 25%, the lowest in a decade.Households in areas under high-level restrictions would go without running water two days every week, including those from Taichung, which has a population of 2.8 million people, as well as Miaoli and Changhua."Our business is 90 percent less than last year," said Wai Ying-Shen, chairman of a group of businesspeople who rent boats to visitors. Economics Minister Wang Mei-Hua advised that while light rains fell in some areas last week, restrictions must be tightened. Other cities, including Hsinchu, are restricting total water supplies for each customer.The government has allocated financial assistance to explore new sources of water such as groundwater, seawater desalination, wastewater reclamation, and water transportation, but these efforts will not be able to provide immediate relief. Authorities have also started using military planes to dump cloud-seeding chemicals, hoping to trigger rainfall.

Worst drought in 40 years hits southern Madagascar - Parts of southern Madagascar are under the worst drought conditions since at least 1981. The region is now in its fifth year of drought which wiped out harvests and hampered access to food. In three months to January 2021, there was less than 50% of the normal quantity of rainfall. In addition, up to 60% of harvests are expected to be lost in the coming months.Southern Madagascar recorded another below-average cumulative rainfall this season, particularly in the Alaotra Mangoro, Analamanga, Haute Matsiatra, and Ihorombe regions.This is the fifth below-average rainy season reported in southern Madagascar in the last six years, with the Grand Sud affected by its most severe drought since 1981.The worst affected are children and women, with three out of four children quitting school, mostly to help their parents forage for food.As of May 12, there are at least 70 000 children who are acutely malnourished and the number is rising daily, Welthungerhilfe (WHH) reports.If rapid emergency assistance is not provided, there is a risk that the famine will spread, endangering the lives of up to a million people, WHH said.Marlene Müller, WHH Programme Director described the situation in the south as dramatic."Our colleagues in the south report that some fields have turned to dust and sand because of the lack of rain," said Müller."The small farmers normally harvest their crops at this time of year to feed their families. Instead, the children must go hungry because they are not getting enough to eat. People are feeding on leaves, berries, and locusts. The small farming families have no way to get enough healthy food, or to earn an income.""They have no reserves left. Without rapid assistance from outside, they are threatened by starvation."

Large landslide blocks Colca River in Arequipa, Peru - (satellite image) A large landslide hit the Caylloma Province, Peru at around 07:30 LT on May 9, 2021, blocking the Colca River in the district of Chivay and forming a natural dam.The landslide took place close to the city of Chivay and is about 300 m (985 feet) long.Authorities estimated the river is blocked by at least 800 m³ (28 250 feet³) of rock and earth, and ordered the clearing of the debris to drain the accumulated water. There are no reports of the affected population.

Rivers overflow as heavy rain hits Uganda - Heavy rains affecting eastern and northern Uganda since May 6, 2021, have caused rivers to overflow leading to severe damage and at least 1 fatality. More than 15 000 people have been affected. The Manafwa and the Nakwasi Rivers in the Butaleja District overflowed after two days of heavy rain across Eastern and Northern regions. Local authorities are reporting damaged homes, blocked roads, and crops destroyed in 7 sub-counties and describing the flooding as one of the worst on record for the area. Media report one fatality and around 15 000 affected families in Eastern Region. The victim was a trader from Manafwa who was crossing a flooded road. The water also covered many areas like the Doho-Manafwa bridge and Leresi trading center, NTV Uganda reported. "Roads to leading to Kasensero landing site via Mutukula road are cut off due to floods," Uganda Red Cross reported today. "From Bukoola to Kateera, close to 20 km [12.4 miles] River Bukoola and River Kagera overflow ends up into the nearby communities. Transport is a challenge, affecting all businesses and livelihoods."

Heavy rains leave 25 people dead, more than 150 000 at risk in days ahead, Somalia - Heavy rains lashed many parts of Somalia over the past few days, triggering flash floods that affected around 25 000 people and killed at least 25. This included nine children who died due to flooding in Banadir on Friday, May 7, 2021, and six others in Mogadishu on Saturday, May 8. More inundations are expected along the Shabelle River in the coming days, putting at least 150 000 people at risk. The main rivers are overflowing in Somalia, in particular the Shabelle and the Juba Rivers, and floods have resulted in considerable casualties and damage, DG ECHO reports. This has been attributed to unprecedented rains in the upper parts of the Ethiopian highlands, especially in the last three days. Inundations due to heavy rain have affected an estimated 25 000 people in Jowhar. At least 25 fatalities have also been reported, including nine children who died in the recent flooding in Wadajir on Friday. "Sadly 9 children rushed to hospital following the collapse of a house in Mogadishu have succumbed to their injuries," Abdulkadir Afi confirmed, the Director of Organizational Development and Communication of the Somali Red Crescent Society. Five of the children, all under 10 years old, were from the same family. "Rescue efforts still ongoing and our Somali RC ambulances continue to attend to the wounded. Heavy rains have caused flash floods and structural damage in the area," he said in a statement. On Saturday, authorities reported six more fatalities-- four of which were from the same family-- after a wall collapsed on makeshift shelters for internally displaced people (IDP) in Garasbaley, Mogadishu.There are hundreds of IDPs in the city, most of whom ran away from catastrophes such as the Al Shabaab menace and disasters like flooding-- a common occurrence in the country during the rainy season. In Puntland, heavy rains in the past days caused damage to the main bridge, making it impassable for traders. Two other bridges on Qayaadsame River also sustained damages, affecting the movement of goods from Bossasso. More than 1 250 heads of livestock perished in the low-lying areas of Ceel Daahir. The Puntland Disaster Management Authority also reported at least three fatalities due to lightning strikes.

Severe storms claim 16 lives, affect 70 000 people across Ethiopia --Severe weather affecting Ethiopia since late April 2021, has left at least 16 people dead and 70 000 affected in the regions of Afar, SNNP, and Somali.Around 27 400 people were displaced in Afar Region due to flooding and strong winds in Gulina, Ewa, Beyalo, Dulecha, Haruka, and Mile Woredas.In Southern Nations, Nationalities, and People's Region (SNNP), some 250 ha (617 acres) of land has been flooded while hailstorms damaged crops in the Wolayta Zone.7 people died and around 11 200 families displaced after heavy rains hit Shabelle, Jarar, Dolo, Afder, Fafan, and Korahe Zones of the Somali Region.9 people died after a 50 m (165 feet) high wall in Dire Dawa city collapsed on three houses during heavy rains on May 2. In neighboring Somalia, heavy rains over the past 7 days triggered flash floods that affected around 25 000 people and killed at least 25. This included nine children who died due to flooding in Banadir on Friday, May 7, 2021, and six others in Mogadishu on Saturday, May 8.

 Heavy rainfall and flash floods kill at least 84, destroy 2 600 homes in Afghanistan --(video) At least 84 people have died and almost 2 600 residential houses have been destroyed as heavy rainfall and flash floods hit Afghanistan in the past week, the National Disaster Management Authority (ANDMA) reported. Recent fatalities include six persons in Takhar Province after downpours struck Monday night, May 10. The severe weather began on May 2, with the province of Herat being the worst affected. Days of heavy rainfall have affected 17 provinces in the country, said ANDMA.Nearly 2 600 residential houses have been partially or totally destroyed, around 3 600 animals have perished, and more than 2 023 ha (5 000 acres) of farmland have been ravaged.As of Monday, at least 84 fatalities have been reported, six of whom died on Monday night following heavy downpours and flash floods that swept away parts of Takhar, including provincial capital Taluqan.Provincial police spokesman Abdul Khalil Asir added that several houses, gardens, and agricultural lands in Taluqan have been damaged, as well as properties in some districts, including Namakab, Kalafgan, and Bangi"We have sent heavy machinery to clean and open the closed roads and highways," ANDMA spokesman Ahmad Tamim Azimi told the media. Search and rescue operations are underway to locate 32 people missing.

Destructive tornado rips through Wuhan, killing 8 people and injuring 280 (videos) A destructive tornado ripped through the city of Wuhan, capital of China's Hubei Province, at around 20:39 LT on Friday, May 14, 2021, killing at least 8 people and leaving 280 injured. This is the second extreme weather event to hit the city in just 4 days. Another tornado hit the city of Shengze on May 14, killing 4 people and injuring 149​.According to local authorities, the tornado ripped through the district of Caidian, destroying 27 houses and damaging 130.In addition, two tower cranes were toppled and 8 000 m² (86 100 feet²) of sheds at construction sites as well as trees and electricity poles, leaving 26 600 homes without power. At least 2 people have been killed after a severe thunderstorm hit the city on May 10, 2021, turning day into night.According to the Wuhan Emergency Management Bureau, parts of the city encountered a level 10 thunderstorm which resulted in the deaths of two workers who were on gondola cleaning windows at Sanyang Road.The maximum rain intensity in the urban area reached 99.6 mm (3.9 inches) in 1 hour. Authorities reported the city was also hit by record-breaking wind gusts, which destroyed roofs and windows on many buildings.”I've grown up in Wuhan and I've never seen anything like it," one Wuhan resident said early Saturday, May 15. "There's been so much extreme weather recently." Another destructive tornado hit the town of Shengze, in the Suzhou area of Jiangsu Province at around 19:00 LT on May 14, killing 4 people and injuring 149. Shengze is about 400 km (250 miles) east of Wuhan.  The tornado destroyed several factory buildings and damaged electricity facilities.

Earliest tropical storm on record forms in East Pacific -- The first tropical system of 2021 in the Western Hemisphere developed early Sunday morning EDT, before hurricane season even officially started, and continued to strengthen, setting a record.AccuWeather meteorologists were monitoring a disorganized area of low pressure was noted a few hundred miles south of the Gulf of Tehuantepec much of last week, allowing for thunderstorms to cluster and bubble up over the anomalously warm water for this time of year. This low pressure then developed into a tropical depression on the morning of Sunday, May 9.Later that morning, Tropical Depression 1-E strengthened, and with sustained winds of 40 mph became Tropical Storm Andres, the first named storm of the season. According to the National Oceanic and Atmospheric Administration (NOAA), the average date for the first named storm of the season in the East Pacific is June 10. Additionally, Andres forming on Sunday morning, local time, makes it the earliest ever tropical storm to form in the East Pacific Basin. Previously, the record was held by Tropical Storm Adrien, which formed in the afternoon, local time, on May 9 of 2017, according to the National Hurricane Center.

4 dead, over 42,000 affected by heavy rains, flooding in Sri Lanka - At least four people had died and over 42,000 others had been affected by days of strong winds and heavy rains which lashed the country due to the formation of a super cyclone in the Bay of Bengal, Sri Lanka’s Disaster Management Center (DMC) said in its latest weather report Saturday. According to the DMC, the deaths had been a result of severe flooding. Over 200 houses had been fully or partially damaged, while 175 people belonging to 42 affected families were housed in temporary shelters. The National Building Research Organisation (NBRO) also issued a landslide warning for several districts in the country including the capital Colombo and the south. The NBRO requested people living in high-risk areas to move to safer grounds. The army has dispatched rescue teams in several districts affected by the floods and has rescued several people who were trapped by the rising water levels. The Disaster Management Center officials were also deployed in the worst affected districts, setting up facilities to accommodate those displaced by the adverse weather conditions. According to weather reports, the powerful cyclone that formed in the Bay of Bengal is now headed directly for the India-Bangladesh border, bringing with it the potential for major destruction and upheaval. Sri Lanka’s Meteorology Department, in its latest weather update, said that more rains were expected over the country in the coming days and urged everyone to be cautious.

Years After the Pacific Marine Heat Wave, Ecosystem Shifts Persist --From 2014 to 2016, the Gulf of Alaska experienced the worst marine heat wave of the decade. From single-celled organisms to top predators, practically no level of the ecosystem was left unscathed. During the Pacific marine heat wave, tens of thousands of dead seabirds washed up on beaches, unusually low numbers ofhumpback whales arrived in their summer habitats, and toxic algal blooms spread along the West Coast of North America.Now, a new study in Scientific Reports casts doubt on whether Gulf ecosystems will be able to return to their pre–heat wave conditions. This study—a collaborative effort between researchers at NOAA and several other government and research organizations—combined dozens of data sets to build a detailed picture of how many heat wave–induced changes have persisted. Thanks in part to long-term monitoring efforts by Gulf Watch Alaska, a program established in 2012 to assess the ongoing effects from the 1989 Exxon Valdez oil spill, scientists were able to compare pre–heat wave and present conditions in several different sections of the ecosystem. "We were able to show these impacts—from the intertidal out to the pelagic [open ocean] ecosystem, and from algae and phytoplankton on up to whales and commercial fisheries, and a lot of different species in between," said Robert Suryan, a NOAA marine biologist and lead author of the study.   "The ecological significance is huge,"   In addition to impacts on the animals that make their homes in the Gulf of Alaska, changes in the Gulf ecosystem could have major implications for the livelihoods of many Alaskans as well. This region supports subsistence fisheries, commercial fisheries, and a major tourism industry.

 High-level eruption at Sinabung volcano, ash to 12.9 km (40 000 feet) a.s.l., Indonesia -- A high-level eruption took place at Sinabung volcano on May 13, 2021. The Aviation Color Code was raised to Red at 19:35 UTC.According to the Darwin VAAC, the volcanic ash is clearly identifiable on the latest satellite imagery, rising up to 12.9 km (40 000 feet) above sea level and moving NW at 20:20 UTC. Height and movement were based on Himawari-8 satellite and model guidance. The Alert Level remains at 3 (of 4). Sinabung on May 11, 2021. Sinabung on May 10, 2021. The last major eruption at Sinabung volcano took place at 23:42 UTC on March 1, 2021, ejecting ash up to 12.2 km (40 000 feet) above sea level. It was the volcano's first major eruption since August 2020.Sinabung woke up in 2010 after 4 centuries of sleep. Since then, at least 23 people have been killed and more than 30 000 displaced.

Lava flow at Fagradalsfjall increases by 70 percent amid ongoing eruption, Iceland - (video) Lava flow at the Fagradalsfjall eruption site on Iceland's Reykjanes Peninsula has increased by around 70 percent, according to the latest data from the University of Iceland’s Institute of Earth Sciences (IES). Experts also noted that there are no signs that the ongoing volcanic eruption will stop soon. Despite the dangers, many visitors ventured near the perimeter to witness the spectacular sight of lava geysers. Data gathered on May 10 showed that lava flow at the Geldingadalir eruption increased significantly in the past week, from 8 to 13 m3 per sec (282 to 459 cubic feet per sec). Although a security perimeter has been enforced to protect people from the hazards of falling hot rocks, many locals walk near the volcano to witness huge lava geysers. "It's not every day we can go to look at a volcano so close. It's just really amazing and so beautiful," said Freyja Wappler-Fridriksdottir, who was among more than 2 500 people who visited the site on the weekend. According to the national meteorological office, some lava geysers have reached unusual heights beyond 460 m (1 500 feet). As of Monday, May 10, authorities have closed the eruption site due to the risk of wildfires. The police initially received a report of a fire at Laugarnestangi, which turned out to be an isolated case.  "Increased flow has gone hand in hand with rising lava fountains and a powerful advance of lava into Meradalir valley," the institute said in a statement issued Tuesday, May 11. "The eruption is now twice as powerful as it has been for most of the active period." The volume of lava emitted, which has lasted for nearly eight weeks so far, has now reached more than 30 million m³ (1 billion cubic feet). The Geldingadalir eruption is particularly exceptional in that the wide majority of eruptions decrease in intensity after they begin. "An increase with time indicates that the channel is widening, probably due to a break in its walls. It can not be seen that the pressure in the source has decreased to a certain extent and therefore the flow increases over time as the channel expands," wrote IES.  "There is currently no way to predict how long the eruption will last or whether lava flows will continue to increase."

Incoming CME, impact expected early May 12 --  Two coronal mass ejections (CMEs) with Earth-directed components were produced on the Sun on May 9, 2021. The impact is expected early Wednesday, May 12. Active Region 2833 produced a long-duration C-class solar flare measuring C4.0 at its peak at 14:49 UTC on May 9 with an associated Type II radio sweep (estimated velocity 407 km/s), indicating a CME was associated with the flare event. A 10cm Radio Burst with peak flux of 130 sfu was detected at 13:54 UTC. A 10cm radio burst indicates that the electromagnetic burst associated with a solar flare at the 10cm wavelength was double or greater than the initial 10cm radio background. This can be indicative of significant radio noise in association with a solar flare. This noise is generally short-lived but can cause interference for sensitive receivers including radar, GPS, and satellite communications. Additionally, a 15-degree filament centered around S22E10 erupted at 10:00 UTC on May 9. This event was also associated with a CME, observed in STEREO-A COR2 imagery starting at 11:23 UTC. This appears to be a faint, partial-halo CME. The two CMEs are still being analyzed at the time of this report with the potential for at least one having an Earth-directed component. While the analysis is still in progress, two of the world's experts of space weather prediction, Dr. Tamitha Skow and Erika Palmero, agreed that the CME impact of the filament eruption will be more than a glancing blow as a more central part of the CME may hit us.

CME impacts Earth, sparking G3 - Strong geomagnetic storm  (video) A coronal mass ejection (CME) produced by a filament eruption around 10:00 UTC on May 9, 2021, has reached Earth at 06:43 UTC on May 12. G3 - Moderate geomagnetic storm levels were observed at 12:59 UTC. The CME arrived at the DSCOVR spacecraft at 05:47 UTC. Solar wind speed increased from an average of 320 km/s to 430 km/s at 05:48 UTC and to 450 km/s at 07:41 UTC Similar jumps were observed in density, temperature, and magnetic field. After a short period of southward Bz (-7nT) immediately after shock arrival, Bz was predominantly positive. The Bt reached 20 nT but had declined to around 10 nT by 12:30 UTC.  Bz also reached 20nT, but it was stubbornly positive during that roughly two-hour period.  Earth's magnetic field was quiet until 06:43 UTC when the CME arrived. The arrival was marked by a 51 nT sudden impulse at the Fredericksburg, VA ground magnetometer, SWPC said.  Geomagnetic K-index of 5 (G1 - Minor geomagnetic storm) threshold was reached at 12:30 UTC, followed by K-index of 6 (G2 - Moderate) at 12:32 UTC and K-index of 7 at 12:58 UTC.
ALERT: Geomagnetic K-index of 7
Threshold Reached: 2021 May 12 1258 UTC
Synoptic Period: 1200-1500 UTC
Active Warning: Yes
NOAA Scale: G3 – Strong . NOAA Space Weather Scale descriptions can be found at
www.swpc.noaa.gov/noaa-scales-explanation
Potential Impacts: Area of impact primarily poleward of 50 degrees Geomagnetic Latitude.
Induced Currents - Power system voltage irregularities possible, false alarms may be triggered on some protection devices.
Spacecraft - Systems may experience surface charging; increased drag on low Earth-orbit satellites and orientation problems may occur.
Navigation - Intermittent satellite navigation (GPS) problems, including loss-of-lock and increased range error may occur.
Radio - HF (high frequency) radio may be intermittent.
Aurora - Aurora may be seen as low as Pennsylvania to Iowa to Oregon.
CME was produced by a filament eruption at 10:00 UTC on May 9.

Asteroid 2021 JQ2 flew past Earth at 0.17 LD -- A newly-discovered asteroid designated 2021 JQ2 flew past Earth at a distance of 0.17 LD / 0.00045 AU (67 320 km / 41 830 miles) at 10:47 UTC on May 8, 2021. This is the 55th known asteroid to fly by Earth within 1 lunar distance since the start of the year.

Youth Climate Activists to March 400 Miles From New Orleans to Houston --Following the path of thousands of families who permanently fled the lowest-lying major city in the United States in the wake of storms like Hurricane Katrina, a group of activists from the youth-led Sunrise Movement on Monday began a 400-mile march from New Orleans to Houston to demand President Joe Biden include "good jobs for all" and a Civilian Climate Corps in his $2.26 trillion infrastructure plan.  Participants in the Sunrise Movement's "Generation on Fire" campaign set out from the New Orleans Superdome — the site of so much suffering and a symbol of state failure following Katrina in 2005 — and walked along the Mississippi River following a delay due to flash flood warnings. The climate campaigners are marching "to make clear that young people are unsatisfied with Biden and Congress' incremental, watered down proposals," according to a statement from the group. With Democrats in control of both Congress and the White House, "young people expect more from their political leaders," the statement added. The activists will stop in cities and towns along the march route to stage protests, rallies, and visioning sessions with community members. They will be joined by political leaders, environmental justice advocates, and other supporters. "As a young person in the Gulf South, we're living in constant crisis: hurricanes, superstorms, jobs that break our bodies and could be taken away at any minute," said Chanté Davis, a high school senior and Sunrise Movement organizer. "This is an emergency, but it isn't an accident," Davis continued. "We know there is money that can provide living wages, stop the climate crisis, and take us back from the edge of survival. There's always money to rebuild rich neighborhoods after storms, always money for petrochemical plants and oil wells, always money for border walls and jails." "This march symbolizes my story as a climate refugee who fled New Orleans and moved to Houston after Hurricane Katrina destroyed my city," Davis added. "This is me claiming agency over my future."

UK Police Arrest Extinction Rebellion Cofounder Gail Bradbrook --A spokeswoman for the Extinction Rebellion group on Tuesday said one of its cofounders had been arrested by officers from London's Metropolitan Police.The group, whose stated aim is to use nonviolent protest to force government action on climate change, has staged numerous high-profile protests in the UK, US and other developed nations including Germany.The group said Bradbrook had been arrested on charges relating to its action campaign against financial institutions known as "Money Rebellion.""Extinction Rebellion cofounder Gail Bradbrook was arrested by officers from the Metropolitan Police at her home in Stroud at around 5:30 a.m. this morning for conspiracy to cause criminal damage and fraud in relation to Money Rebellion's debt disobedience," a spokeswoman for the group said.Activists from the Extinction Rebellion smashed window frontages of HSBC and Barclays in the British capital in March. The group also targeted the Lloyds of London insurance market as part of its action.The spokeswoman added that the fraud allegation stems from a campaign to use personal credit card debt to make donations to groups allegedly damaged by banks. The borrower would then refuse to pay off the debt.The 49-year-old Bradbrook, who holds a doctorate in molecular biophysics, has said she believes only large-scale civil disobedience can bring about government action on climate change.She started Extinction Rebellion in 2018 along with her former partner Simon Bramwell, and organic farmer and activist Roger Hallam. The group says the UK and other countries are acting too slowly to stop climate change. It also accuses the Western financial system of fueling the abuse of the planet.

 Why Biden’s Carbon Pricing and Electric Vehicle Plans Won’t Avert Climate Crisis -The Biden administration recently announced that it hopes to achieve so-called “net-zero” carbon emissions by 2050, to contribute to the goal of keeping global temperatures at no more than 1.5 degrees Celsius above pre-industrial levels. But how to get there?The policy proposals vary, but there is widespread agreement that a carbon tax or price on carbon emissions should be part of the policy mix. The idea is to raise the cost of emitting the greenhouse gas carbon dioxide (CO₂) into the atmosphere, thereby encouraging consumers and producers to switch to alternative non-greenhouse gas emitting energy sources. Such a policy, though, raises a number of questions. The most important is how high would the carbon tax have to be to incentivize a strong transition to renewable energy that could actually reach the goal of net-zero carbon emissions by 2050.New School economist Lance Taylor recently looked into precisely this question from a macroeconomic perspective. He has worked on climate change for many years and is well known for his view that it does indeed pose serious problems for economies. (See, for example, his recent discussion in Nature Climate Change.)His most recent study for the Institute of New Economic Thinking looks closely at how effective a carbon tax might be compared to alternative approaches, for example, programs that set technical standards and aim directly to develop new technologies. Non-fossil fuel primary energy supply will have to play a central role, e.g. much less use of oil, coal, and natural gas and much more electricity production based on wind and solar sources.He found that carbon taxes, as they are currently being proposed, as well as a parallel increase in the use of electric vehicles, would not achieve these goals. A key problem is that two-thirds of primary energy output does not feed into economically useful services, to a large extent because of the laws of thermodynamics. Petroleum accounts for one- third of primary production, most of which is used for transportation. This petroleum demand is relatively “inelastic.” That is, people need to drive a certain amount and to consume gasoline, no matter whether the cost is high or low. As a result, a proposed 50 percent surtax on gasoline would have only a minimal impact on actual gasoline demand. Taking into account the amount of primary energy that is wasted, the same goes for petroleum demand.

Goodbye, Climate Deniers. Hello, Climate Bullshitters“ - How to spot carbon greenwash? A good rule of thumb is whether the proposal actually cuts emissions, by a significant amount, and soon.” —Damian Carrington“America can’t be fixed because Americans don’t want it to be.” —Umair Haque, who’s only partly right. The Americans who don’t want it to be fixed own the place.As Damian Carrington points out in a recent Guardian piece, we live in a time when the “impacts of the climate emergency are now so obvious, only the truly deluded still deny them.”And he’s right. Almost no one today — at least among the civilian population, those not engaged in politics professionally — really doubts that climate change is happening.Yet we still all go about our merry social way as though the problem will fix itself (it won’t); or the next generation will deal with any real crisis (they won’t get the chance, since it will hit this generation first); or the election of Joe Biden means the nation is back on track for curbing emissions (it isn’t, not with anything close to the speed required).And that’s the problem: the speed required. If a giant meteor were barreling toward the earth and the best scientific minds said it would hit for sure, ending almost all life on the planet, would we start working now to end the threat, even if it were predicted for decades in the future? Or would most of us go back to television and our (economically miserable) lives and say, “Cool. Tell me again when it matters”? Frankly, and I say this with all the love I can muster for our easily deluded species, if the meteor were predicted to hit in, say, 2060 — for all practical purposes, hit the next generation — I’d bet on the delay; I’d bet that next year’s Super Bowl mattered more. But the climate crisis is not a meteor. Altering a meteor’s deadly course through space is not an existential threat to our ruling class and its self-dealing, self-enriching economic system. Only its impact poses such a threat. The climate crisis, however, threatens to end our economic system not only if it’s ignored. It threatens to end our system if it’s addressed. And no one, not Joe Biden, not any ruler of any major nation in the world, not banks, corporations, fossil fuel companies, hedge funds, or the whole of the investor class, wants that.And yet each of these entities — governments, corporations, the finance system, the whole of the investor class — will be SOL the day that death ship reaches the harbor of a panicked and pants-soiled public’s active awareness.The day the public truly figures out the mess we’re in is the day the world changes forever, never to go back. And on that day, everyone on the planet, rich and poor alike, will ask a single question: Where can I go that’s safe?The answer for most will be: Nowhere; nowhere at all. And yet that day is further out than the day when we must force capitalism to be transformed so we can solve the problem it cannot. That day, the day of needed transformation, if we truly take the crisis seriously, is today. Thus the bullshit, all to serve delay, all to keep our capitalist rulers rich and in their chairs.It’s really that simple. By praising profit-first, or empowering those who worship that gold calf, we doom ourselves to die before our time — among the young, only the lucky will see natural deaths.

WV clean energy advocates seek to reframe infrastructure debate as Manchin, Capito have Biden's ear  How big is too big? That’s the all-important question shaping the debate over new federal infrastructure spending. West Virginia’s senators and clean energy advocates disagree on the answer heading into President Joe Biden’s meeting Thursday with Sen. Shelley Moore Capito, R-W.Va., and a group of other Senate Republicans to negotiate an infrastructure agreement. “[I]f you’re talking to somebody on the ground in West Virginia, one way to sort of [ask the question] is, are the needs and challenges that your community faces small?” said Dan Taylor, West Virginia-based Appalachian field organizer for the BlueGreen Alliance uniting labor unions and environmental organizations. “And I think that you’ll find very few people who think that is the case.” Taylor was responding to a viewer’s question during a discussion that West Virginian environmental and progressive groups held via Zoom teleconference Tuesday highlighting federal policies designed to ease Appalachia’s economic and energy transition. Taylor and other clean energy advocates touted the importance of preserving as much of Biden’s $2.2 billion jobs and infrastructure proposal as possible. They highlighted Biden’s proposed $16 billion investment in reclaiming abandoned mines and plugging abandoned oil and gas wells, which the White House has estimated would put hundreds of thousands to work in union jobs, and establishment of a national clean electricity standard aimed at decarbonizing the nation’s power sector by 2035. The Capito-backed GOP proposal lacks those provisions. Capito has led the group of six Senate Republicans pushing an initial $568 billion counterproposal to Biden’s sweeping $2.2 trillion plan that would limit investment priorities to traditional travel infrastructure, such as roads and bridges, plus broadband, water and wastewater improvements. “The first thing we’re going to talk about is narrowing the focus to physical infrastructure,” Capito said looking ahead to the senators’ meeting with Biden Thursday during a Fox News appearance hours before the clean energy advocates’ virtual discussion sponsored by West Virginia Interfaith Power & Light, a state affiliate of the national Interfaith Power & Light organization that mobilizes people of faith to fight climate change. Interfaith Power & Light federal policy associate Jonathan Lacock-Nisly predicted that, in an evenly divided Senate, swing voter Sen. Joe Manchin, D-W.Va., probably would be “the decider” on an infrastructure plan.

 Tesla Changes Stance on Bitcoin Amid Climate Concerns --The U.S. electric car manufacturer Tesla suspended its plans to accept Bitcoin as a payment method, CEO Elon Musk announced in a Twitter statement late Wednesday. Musk, who has become notorious for moving the price of cryptocurrencies via tweets, cited the massiveamount of energy required to keep Bitcoin running and its environmental impacts as the reasoning behind Tesla's turnaround. "We are concerned about rapid increasing use of fossil fuels for Bitcoin mining and transactions, especially coal, which has the worst emissions of any fuel," the statement said. While cryptocurrency is a "good idea on many levels," it comes at a "great cost to the environment," Musk said. The price of Bitcoin dropped nearly 13% late Wednesday after Tesla's announcement, according to Coin Metrics. The cryptocurrency website coindesk showed Bitcoin's dollar value dipped to a 24-hour low of just above $46,000, before rebounding slightly to hover around $50,000. Tesla sparked a Bitcoin boom in February, after announcing it would invest some $1.5 billion in the cryptocurrency with the intention to allow customers to buy their e-cars with it. The fair market value of Tesla's Bitcoin by the end of March was $2.48 billion, securities filings showed. Tesla said it was not planning to sell its Bitcoin holdings. "Tesla will not be selling any Bitcoin and we intend to use it for transactions as soon as mining transitions to more sustainable energy," the statement said.

ADM to Build New Soy Crushing Facility in North Dakota to Meet Increasing Demand for Renewable Products - ADM today announced its plan to build North Dakota’s first-ever dedicated soybean crushing plant and refinery to meet fast-growing demand from food, feed, industrial and biofuel customers, including producers of renewable diesel. Based in Spiritwood, ND, the approximately $350 million crush and refining complex will feature state-of-the-art automation technology and have the capacity to process 150,000 bushels of soybeans per day. Strategically located in a major soybean producing area, ADM’s global logistics network will enable the facility to access both domestic and global markets for soybean oil and meal. The facility is expected to be complete prior to the 2023 harvest. "ADM’s commitment to preserving and protecting our planet’s resources stretches from the farm gate to the food on our tables and the renewable fuel we put in our vehicles," said Greg Morris, president of ADM’s Ag Services & Oilseeds business. "This exciting new project allows us to partner with North Dakota farmers to further advance the role of agriculture in addressing climate change through the production of low carbon feedstocks for products such as renewable diesel."-

‘Exceptional New Normal’: IEA Raises Growth Forecast for Wind and Solar by Another 25% -The International Energy Agency (IEA) has raised its forecast for the global growth of wind and solar by another 25% compared to figures it published just six months ago.Furthermore, the IEA's "renewable energy market update" forecasts nearly 40% higher growth in 2021 than itexpected a year ago, putting wind and solar on track to match global gas capacity by 2022.The Paris-based agency says a "huge" 280 gigawatts (GW) of renewable capacity – primarily wind and solar – was installed globally last year, some 45% higher than the level in 2019, after the largest annual increase in more than 20 years.This "exceptional" level of annual additions will become the "new normal" in 2021 and 2022, the IEA says, with the potential for further acceleration in the years that follow.Overall, the IEA says that renewables accounted for 90% of new electricity generating capacity added globally last year and that they will meet the same share in each of the next two years.In its latest update, the IEA says wind and solar growth forecasts have been "revised upwards by over 25% from last year."This is based on comparing the new forecast for growth in 2021 (red line in the chart below) to the "main case" published in November 2020 (dashed mid blue). Looking at the figures for 2022, the IEA's new forecast is 30% higher than the main one it published last November.

Copper Price Hits All-Time-High In Commodities Bull Run - Copper price hit a record high on Thursday as Chinese investors unleashed fresh demand following a five-day holiday. Copper for delivery in July was up 1.71% by 1:42 pm (EDT), with futures at $4.6015 per pound ($10,123 a tonne) on the Comex market in New York, over the $4.58 per pound high reached in February 2011.The reopening of major industrial economies is sparking a surge across commodities markets from corn to lumber, with tin climbing above $30,000 a tonne for the first time since 2011 also on Thursday.Copper has gained 28.1% since the end of last year and is up 114.9% from its 2020 low, hit in March of that year amid the global economic fallout as countries locked down their populations to contain the spread of covid-19. Trading house Trafigura Group, Goldman Sachs, and Bank of America also expect copper to extend gains.“Copper could spike to $13,000 a tonne in coming months, partially over low inventories,” Bank of America said.“Copper prices will remain strong as a continued rebound in global PMIs bolstered investors’ bullish sentiment,” Citic Futures Co. said in a note.On the supply side, Peru reported a 19% jump in March copper output, potentially offering some relief to tight global supplies.

Clean energy minerals shortage: Who knew it could happen? – Kurt Cobb - The race for so-called green energy has spawned another race, one for the minerals needed to make the devices such as solar panels and batteries that produce, store and transmit that energy. A hitherto largely unchallenged economic idea—that we will always have supplies of everything we need at the time we need it at prices we can afford—is in the process of being tested. According to the International Energy Agency (IEA), the world will need to produce six times more of these critical metals than we are producing now to reach net zero carbon emissions by 2050, a target widely held out as an essential goal for avoiding catastrophic effects from climate change. The need for lithium—the key component in lithium batteries that are prized for light weight and the ability to charge quickly—will grow 70 times over the next 20 years, the IEA predicts.One wonders what the price trajectories of the minerals IEA mentions will look like in the coming years. The long-term charts are concerning for nickel, lithium, cobalt and others since this appears to be just the beginning of the run-up.The world is experiencing shortages already of many key commodities and manufactured items (such as computer chips). This is, in part, due to lack of investment over the last decade after a general slump in commodity prices following the Great Financial Crisis of 2008 and a broad moderation in worldwide economic growth. Certainly, we can expect increased investment in these critical metals. But will it be sufficient to match our dreams for a green technology future? The alarm sounded by the IEA last week is not the first since my 2009 piece. But the alarms are coming more frequently. Just last December I wrote about a report from the European Commission touching on the same issue. Usually, when high government officials start talking publicly about critical shortages, the world is already far along into the shortage. That's when such problems get moved from the back burner—if they are on any burner at all—to the front burner because they are now visible and officials are forced to acknowledge them. Acknowledgement is not resolution, however. Part of the difficulty in solving this emerging shortage is that the mining required to solve it is unspeakably polluting. This cements my belief that the chief source of problems is solutions to other problems. We have gotten ourselves into such loops because we believe that technology itself equals solutions rather than simply more and different problems. To get out of that loop we would need to go beyond technology to rethinking our entire way of life.

China building massive power farm near US Air Force base in Texas - A Chinese firm is building a massive wind farm near Laughlin Air Force base in southwest Texas, and both state and federal lawmakers are advancing legislation to stop it. The wind farm project, known as the Blue Hills Wind development, is being managed by GH America Energy, the U.S. subsidiary of the Chinese Guanghui Energy Company according to a 2020 report by Foreign Policy. The project entails the purchase of around 140,000 acres of land located about 70 miles from Laughlin Air Force Base. Guanghui Energy is owned by Sun Guangxin, a Chinese billionaire who reportedly has ties to the ruling Chinese Communist Party. The Blue Hills wind farm has raised concerns of efforts to spy on or otherwise interfere in U.S. flight training. The wind power project has also raised concerns the power supply to the Air Force base could be vulnerable to hostile actors. Local officials reviewing the wind farm project wrote a letter to then-Treasury Secretary Steven Mnuchin, Secretary of State Mike Pompeo, and Secretary of the Air Force Barbara Barrett, expressing concerns the project could pose challenges to the base’s regular flight training operations. “Our greatest concern is the long-term implications this will have on the Air Force’s mission of pilot training not with a single application, but rather a cumulative strategy that cannot be evaluated in the first filing,” Val Verde County Judge Lewis G. Owens Jr. and Del Rio Mayor Bruno Lozano wrote in a letter obtained by Foreign Policy. “We believe that this project and all future projects of a similar nature will result in unacceptable risk to national security of the United States.” Despite the concerns raised about the wind farm project, the Committee on Foreign Investment in the United States (CFIUS) — a panel of different federal agencies that looks at the national security risks posed by foreign investments in the U.S. — approved the project. CFIUS said that while GH America Energy must prevent the wind turbines from interfering with low-level flight training routes at Laughlin Air Force Base, the project can proceed. While CFIUS has given the green light for the wind farm, lawmakers in the Texas state legislature are rapidly advancing legislation to stop the project.

 Biden Administration Approves 1st Major Offshore Wind Energy Project  -The U.S. Interior Department approved the country's first large-scale offshore wind project Tuesday, a final hurdle that reverses course from the Trump administration and sets the stage for a major shift in the energy landscape.This "is a significant milestone in our efforts to build a clean and more equitable energy future while addressing the climate emergency," Interior Secretary Deb Haaland said during a press briefing. She said an expansion of wind energy is critical to President Biden's ambitious climate goals to make the electricity sector carbon-neutral.The $2.8 billion project, known as Vineyard Wind 1, will consist of 62 turbines spaced about a mile apart, each standing about 837 feet above the water's surface. Cables buried beneath the ocean floor will connect the power from these turbines with the New England grid onshore.The project is expected to produce enough renewable electricity to power 400,000 Massachusetts homes every year while also saving ratepayers billions of dollars and reducing annual carbon dioxide emissions in the state by about 1.68 million metric tons. Lars Pedersen, Vineyard Wind's CEO, recently told public radio station WBUR that he expects offshore construction to begin next year, with renewable energy flowing to the grid by the end of 2023.

 TVA Takes First Small Steps Toward Closing Its Largest (And Dirtiest) Power Plant -Tennessee’s electric utility is starting the long process that could eventually lead to closure of its most-polluting coal plant.Tennessee Valley Authority Jeff Lyash has already announced this month that it plans to end all coal power generation by 2035. And TVA spokesman Scott Brooks says the utility is beginning the preliminary review with the Cumberland Fossil Plant in Stewart County, which has two separate coal-fired units.“These are the two largest coal units we have in our fleet,” Brooks says. “So if there’s any logic to it, it would make sense that we would start with our two largest units.”The Cumberland plant produces enough power for more than 1 million homes. It also releases 8 million tons of carbon emissions into the air each year, as well as especially high mercury releases into the Cumberland River, according to the Sierra Club of Tennessee.“This is an opportunity for TVA to show that it is listening to the people of the Tennessee Valley when they ask for clean technologies such as solar power and battery storage,” says JoAnn McIntosh, a Sierra Club representative in Clarksville.TVA has four remaining coal sites operating, including the one in Stewart County and one in Gallatin. Another is in Kingston, with the fourth being Shawnee in Kentucky. All four would close or convert to other fuels by 2035.The question right now at Cumberland is whether to keep the coal plant running or shut the units down ahead of schedule and transition to natural gas and solar at the site. So TVA is drafting a formal environmental report that will include feedback from the community and environmental advocates.

Pa. bill seeks to stop municipalities from restricting certain utilities - Pennsylvania lawmakers are considering a bill that would prevent local governments from restricting the type of energy its residents use.Senate Bill 275 is being called an “energy choice” bill by its supporters. Opponents of the bill say it’s unnecessary and problematic.The Senate Local Government and Environmental Resources and Energy committees held a hearing May 11 on the bill, introduced by Sen. Gene Yaw, R-Lycoming.  This bill is one of many being introduced across the country, in response to some cities prohibiting or limiting the use of natural gas in new buildings. Similar legislation has popped up in Ohio, Indiana, Iowa, Kansas and other states this year. Tennessee, Oklahoma, Arizona and Louisiana enacted laws in 2020 prohibiting bans on natural gas.Yaw said the bill is “energy neutral,” during the committee hearing. He said the legislation has the support of the Pennsylvania Farm Bureau, Pennsylvania Builders Association, Pennsylvania Propane Gas Association and Pennsylvania Petroleum Association. The only groups opposed to it are PennFuture and the Sierra Club, he said.“It doesn’t favor any particular type of energy, but it makes it open to everyone,” he said.Sen. Tim Kearney, D-Delaware, said his interpretation of the bill was a bit different.“It seems to be geared strictly only toward one utility, towards the natural gas utility,” Kearney said.”It seems it may be a bit of a solution in search of a problem.”The movement against natural gas started in Berkley, California. The city council there passed the nation’s first ban on natural gas hookups in new buildings in 2019. Since then dozens of other cities, mostly in California, have passed similar restrictions. It’s not clear that any municipalities in Pennsylvania are considering such a ban, according to officials representing Pennsylvania’s township, borough and city governments, who spoke during the May 11 hearing.

 Planned legislation would protect gas, electric supplies in Ohio  – Ohio drivers have yet to see gas shortages and steep price increases after the cyberattack on a major pipeline Friday, but there has been pain. The national average for gas passed $3 a gallon Wednesday, and the state’s average price rose 4 cents overnight to $2.87 a gallon. The rising costs and long lines at the pump in other states prompted Ohio Rep. Mike Loychik, R-Bazetta, to announce plans to introduce legislation to protect the state’s pipelines and electrical grids. Loychik said he will ask for $1 million in additional funding each year from the state’s general fund for a cybersecurity grant program. “We’ve recently seen hackers take control of one of our major pipelines, which has led to gas shortages and price surges on Americans,” Loychik said. “It’s clear the Biden administration is not doing anything to protect our energy sector. It’s up to our state to take action to ensure our grids are protected and Ohioans are not being hurt at the gas pumps.”

FBI agents overseeing Ohio's biggest corruption case talk to press (interview transcript) FBI Special Agent in Charge Chris Hoffman and Supervisory Special Agent Matthew DeBlauw oversee the biggest public corruption case in the the country right now and the largest in Ohio history. In July 2020, federal investigators detailed how Akron-based FirstEnergy, its subsidiaries and other energy companies gave nearly $61 million to help elect Rep. Larry Householder, pass House Bill 6 containing $1.3 billion to subsidize two nuclear plants and defend the law against the ballot effort to block it. More: 'In a league of its own': Ohio is No.1 state when it comes to public corruption, experts say Householder, R-Glenford, and four others were indicted. Householder and former Ohio Republican Party chairman Matt Borges have pleaded not guilty. Lobbyist Juan Cespedes and political strategist Jeff Longstreth pleaded guilty in October. Lobbyist Neil Clark died by suicide in March. In an exclusive interview with USA Today Network Ohio reporters, Hoffman and DeBlauw were generally tight-lipped about the investigation but they did share some nuggets we think you'll find interesting.

Fresh from Icahn settlement, FirstEnergy weighs divestitures... (Reuters) - FirstEnergy Corp, the U.S. utility that gave activist investor Carl Icahn seats on its board this year, is exploring divestitures as an alternative to raising cash by selling stock, according to four people familiar with the matter. Akron, Ohio-based FirstEnergy is trying to recover from the fallout of accusations it was involved with a $60 million bribery scheme involving financial aid for troubled nuclear power plants in its home state. The utility replaced its chief executive and let go of employees suspected of being linked to the corruption case, in a bid to assuage investor concerns. Its shares have recovered most of the value they lost when federal prosecutors unveiled the bribery scheme last July. However, credit rating agencies have warned the episode may continue to affect FirstEnergy's ability to access bond markets. FirstEnergy said last month it was seeking alternatives to issuing up to $1.2 billion of stock over 2022 and 2023, to help finance its spending plans. The firm is working with an investment bank as it considers divesting stakes in some of its subsidiaries as one such alternative, according to the four people. This includes selling part of Monongahela Power Company, which provides electricity to nearly 400,000 customers in West Virginia, as well as pieces of West Penn Power and Potomac Edison, power companies serving 720,000 customers in Pennsylvania and more than 400,000 people in Maryland and West Virginia respectively. FirstEnergy could fetch $1.5 billion by selling all three outright, according to one of the sources.

Bills To Repeal More Portions Of HB6 To Get Senate Hearings --Ohio lawmakers are going bit-by-bit in their attempt to repeal HB6, a controversial energy law. While the nuclear power plant bailout portion of the bill has already been eliminated, legislators are targeting other portions of the measure.There are two bills set for hearings in the Senate. One, SB117, would eliminate the hundreds of millions of dollars in subsidies for two coal plants, owned by the Ohio Valley Electric Corporation, or OVEC.The other bill, SB89, would restore Ohio's renewable energy standards. Both bills reverse actions taken through HB6 which is now at the center of a federal bribery investigation.Rep. Bill Seitz (R-Cincinnati) has signaled that there's not much support for these bills in the House."I don't anticipate that any of the bills that have been introduced on these subjects will pass," Seitz says. The Public Utilities Commission of Ohio has also started an audit of the ratepayer money going towards OVEC.

Records show lawmakers returned AEP checks - Records show Ohio state politicians refunded nearly $50,000 in recent months to a political action committee of American Electric Power, a beneficiary of a massive coal-fired power plant bailout via scandal-tainted legislation enacted last year. Nine state senators and two House representatives, all Republican, returned a total of $19,500 in campaign contributions to an AEP political arm between October and December, campaign finance records show. Additionally, Gov. Mike DeWine in January returned a $10,000 check to the utility, which sells electricity to about 1.4 million Ohioans. The utility’s PAC also reported contributing nearly $20,000 to the House Republican Campaign Committee July 9, which was returned Sept. 24. DeWine said he returned the money to avoid any appearance of impropriety. Several senators said they didn’t return the checks, but they were lost or delayed in the mail, possibly due to widespread delays from the U.S. Postal Service last year.

Feds appeal court order that stalls gas drilling in Ohio national forest  (Reuters) - The U.S. Forest Service (USFS) and the Bureau of Land Management (BLM) have appealed to a federal appeals court rulings in Columbus federal court that prohibit them from issuing new permits to drill on oil and gas leases in Ohio's only national forest until they re-assess the environmental effects of fracking on that land. The federal agencies on Monday appealed rulings that they violated the National Environmental Policy Act (NEPA) when they failed to take a "hard look" at the environmental impacts, including on air quality, of eventual hydraulic fracturing, or fracking, of underground shale when they offered for lease about 40,000 acres of land in the Wayne National Forest in southeast Ohio. Plans to open up Wayne Forest to fossil fuel extraction go back more than a decade predating former President Donald Trump's push to open up federal lands to oil and gas exploration. Taylor McKinnon, a campaigner with co-plaintiff the Center for Biological Diversity (CBD), said: "There's a wide and dangerous chasm between the Biden administration's climate rhetoric and its defense of unlawful fracking." CBD and others made NEPA claims against USFS and the BLM in 2017, months after the agencies opened up the land for fracking. About 1,800 acres of land were leased during auctions held in 2016 and 2017. Last year, U.S. District Judge Michael Watson sided with the plaintiffs, saying that BLM's conclusion that leasing of the forested land would not significantly impact the environment, and that further analysis could wait until developers applied for drilling permits, violated NEPA. In March, Watson asked BLM and the USFS to revise their NEPA analysis and prohibited them from issuing new drilling permits in the meantime.

Biden Admin Seeks to Restart Drilling in Wayne Natl Forest -- The executive branch of the federal government, including the U.S. Forest Service (USFS) and the Bureau of Land Management (BLM), is appealing, to a federal appeals court, a Columbus federal court ruling that prohibits their respective agencies from issuing new permits to drill on oil and gas leases in Ohio’s Wayne National Forest (WNF). Talk about mixed signals! We thought old Joe had shut down and wants to keep shut down all drilling on federal land, which includes WNF (see How Biden’s Drilling Ban on Federal Lands Affects the M-U). Now Biden’s own USFS and BLM are suing to allow it!

Elected officials should stand against fossil fuels- Jill A. Hunkler -- It was an honor to testify before the House Subcommittee on the Environment on the role of federal fossil fuel subsidies in preventing action on the climate crisis. However, I was disappointed by the response from state and local government leaders who I believe misrepresented the issue, citing research published by the oil and gas industry to back up false claims of economic growth and “clean” emissions. In a recent news article, state Sen.Frank Hoagland, R-Mingo Junction, stated: “Far left attempts to vilify the significant economic opportunities brought by the oil and gas industry are patently false …” This argument is futile, as the statistics mentioned in my testimony came directly from the Bureau of Labor Statics and Bureau of Economics. It is the irrefutable truth, based on governmental data, that Appalachian fracking counties have lost 6,500 jobs and 13,000 residents since the fracking boom began.Sen. Hoagland also stated, “Additionally, other sectors and small businesses have grown with Ohio and the gas industry.”This may have been true for a short period of time, but now you can see the evidence to the contrary. The hotels and campgrounds are virtually empty, and some of the other small businesses that surfaced, like industry supply shops, are gone.[…] Commissioner Jerry Echemann stated he had faith that the oil and gas industry is alive and well. His faith is misplaced and not based on fact. The industry is still present, but activity has slowed, and companies including Gulfport, a heavy player in the county, are filing for bankruptcy. According to a 2020 study from the Institute for Energy Economics and Financial Analysis, Appalachian fracking companies have failed to produce positive free cash flow each year for the past decade.The officials are claiming that the industry has done a lot for Belmont County and that they are behind them. Why do they not acknowledge all the harms brought by this same industry? Can they still be unconcerned, or are they afraid to face the truth based on fact? This industry is polluting our air and water and causing negative health impacts to residents of Belmont County. Are we to assume that Sen. Hoagland and the Belmont County Board of Commission are willing to sacrifice the health of the people for corporate wealth?

Self-congratulatory op-ed on Ohio fracking industry glosses over health, climate impacts - cleveland.com-  Congratulations to Jill Hunkler (”Ohio anti-fracking activist joins Greta Thunberg to decry fossil fuel subsidies at Earth Day congressional hearing,” cleveland.com, April 22). It takes real courage to speak truth to power, especially when that “power” is an industry that has for decades controlled a false narrative about the connection of their products to climate change. Regarding David Hill’s May 7 op-ed (”The truth on how the oil and gas industry helps communities thrive”), few full-time Ohio residents will benefit from employment in the industry. However, many of us will deal with the negative impacts. A simple search of peer-reviewed studies will provide Mr. Hill with a plethora of information about the carcinogenic health effects of petrochemicals that will profoundly impact citizens’ health in southeast Ohio. The increase in methane emissions alone counteracts any decrease in carbon-dioxide value. Much of the fracked gas will become a feedstock for single-use plastics, even though the world is drowning in plastics. We are finding out from recent research that our very ability to reproduce is being affected by plastics, plasticizers and fracking chemicals. It is time to move into the future and stop subsidizing an industry that cares nothing about the truth. Randi Pokladnik, Uhrichsville

Ohio lawmakers include language promoting oil and gas in budget bill -  The Ohio House version of the 2022-23 state operating budget includes language that would make it state policy to “promote” oil and gas development, exploration and production. The House also added in provisions to make it easier to lease mineral rights under state lands. The state’s oil and gas industry welcomed these small, but significant, changes. Environmental groups are concerned about what it means for public transparency and protecting the state’s public lands. “It’s a thumb on the scale,” said Nathan Johnson, director of public lands at the Ohio Environmental Council. “It slants the playing field dramatically in favor of the industry.” Until now, it’s been basically impossible for any state agency to lease its mineral rights for oil and gas development, said Matt Hammond, president of the Ohio Oil and Gas Association. It’s not that it was illegal. There was just no process for it to happen. The law, signed in 2011 under then-Gov. John Kasich, created the Oil and Gas Leasing Commission. The commission was supposed to oversee any leasing activity on state lands. The problem, for the oil and gas industry, is that no one was appointed to the commission until 2017. That only happened after the legislature tried, through the budget bill, to take away the governor’s power to control appointments to the commission. Even after the commission was staffed, the Ohio Department of Natural Resources never promulgated any rules to govern the commission. Hammond said Gov. Mike DeWine’s administration seems more friendly toward oil and gas, so they took the opportunity to push for some of these changes. Under the language put in the House budget bill, the commission would create its own rules, including setting a standard lease to be used by state agencies. State agencies could then lease public land parcels without consulting the commission. Johnson said these changes basically render the commission obsolete and takes the leasing process out of the public eye. “It robs the public of those protections,” he said. “If we’re basically announcing a policy of drill, baby, drill in those places that Ohioans really rely on today more than they ever have, for getting out there, getting away, breathing clean air, I think that’s a sad state of affairs that we’re dealing with in Ohio right now.” According to the bill, the commission would still accept nominations for parcels to be leased and approve bids. The provisions would allow state leasing revenue to be used more broadly. The current law says those funds need to be reinvested into the public lands. The budget bill would have that money be put into a general administrative fund.

House passes bill blocking cities from banning natural gas - The state House of Representatives passed legislation last week that would block Ohio cities from limiting or banning residents from obtaining natural gas or propane services for their homes.All House Republicans and two Democrats voted in favor of House Bill 201, which would undercut potential efforts from cities taking a go-at-it alone approach to climate change when the state won’t act.No Ohio cities have undertaken any such effort, though some like Cleveland and Cincinnati have passed resolutions aimed at operating exclusively on renewable energy by 2025.The bill would prevent cities from enacting any law or building code that “limits, prohibits, or prevents” residential, commercial, or industrial consumers within their boundaries from obtaining natural gas service.Ohio is one of 23 states considering legislation to preempt cities from limiting new or existing gas hookups, a sweep of efforts backed by the natural gas industry. The state proposals follow a trend of progressive cities limiting gas distribution or incentivizing the electrification of buildings.The bill’s lead sponsor, Rep. Jason Stephens, R-Kitts Hill, described natural gas in a floor speech as an “affordable, reliable, and environmentally friendly” source of energy. The legislation, he said, would stave off attempts from Ohio cities following the lead of places like Berkeley or San Francisco which have adopted some form of a new natural gas ban. Democrats mostly sided with environmental advocates against the bill. Several pointed out that no city in Ohio is proposing any sort of ban on natural gas. Rep. Mary Lightbody, D-Westerville, said Ohio already gutted its clean energy portfolio mandates via House Bill 6 in 2019 (now the subject of a federal pay-for-play prosecution).

Thousands of abandoned Ohio oil and gas wells may be hidden. Drones could help find them - After successful trials using drones to discover abandoned oil and gas wells, Ohio authorities are looking to expand their use and to speed up remediation at hundreds of sites across the state.Ohio has roughly 1,000 sites on its orphan well inventory. There likely are “many more,” said Eric Vendel, chief of the Ohio Department of Natural Resources’ Division of Oil and Gas Resources Management. The hope is that drones equipped with magnetometers could help locate wells that are not yet on the state’s radar.Orphan wells matter because they can continue to emit methane, a health and fire risk if not properly contained. Methane also is 84 times more potent as a greenhouse gas than carbon dioxide is over a 20-year time span. Abandoned oil and gas wells have also contaminated soil and groundwater.Orphan wells in Ohio are a subset of the larger group of abandoned oil and gas wells, where no legally responsible owner can be found. Until wells are identified, however, it’s unclear whether they should be fixed by the state under its orphan well program.Until now, there haven’t been good tools to systematically identify which of the quarter-million wells drilled in the state since the mid-19th century have been properly plugged or should be deemed orphan wells. In many cases, wells have come onto Ohio’s orphan well list only after people reported problems. In one case, for example, a well was found under the gym floor at a Lorain County grade school. Nor has any systematic on-the-ground survey been done to check whether recorded wells were properly plugged.Magnetometers have been used to find wells and other geological anomalies for decades. The equipment looks for specific changes in the ground’s magnetic field that signal the presence of a vertical well casing. Walking sites with equipment is time-consuming, however, so it hasn’t been done in a systematic manner statewide.  The growing popularity of remotely piloted aerial vehicles, or drones, within the last 20 years has paved the way for surveys to be done efficiently over larger areas. The magnetometer itself looks like a yard-long white surfboard. It hangs from a remote-controlled drone with a wingspan of 4 to 5 feet. “It’s a pretty big piece of equipment,” said Rob Lowe, a survey section manager at the Ohio Department of Natural Resources’s Division of Oil and Gas Resources Management. His section was formally established in 2016.Work by a team from the National Energy Technology Laboratory, ODNR and others confirmed the technology’s viability at last June’s Unconventional Resource Technology Conference. The team’s report showed that the drones found known wells and some that hadn’t been reflected in official records.

Ascent Resources Utica Holdings, LLC Reports First Quarter Operating And Financial Results --First Quarter Highlights:

• Averaged net production of approximately 1.8 bcfe per day for the quarter, of which 89% was natural gas
• Adjusted EBITDAX⁽¹⁾ of $240 million and net cash provided by operating activities of $210 million
• Decreased average well cost⁽²⁾ to approximately $564 per lateral foot during the quarter, resulting in capital expenditures incurred of $148 million
• Generated $54 million of free cash flow⁽¹⁾ during the quarter
• Eliminated all debt maturities until Q2 2024 with the retirement of our Convertible Notes in March 2021 and the redemption of our Senior Notes due 2022 in April 2021
• Borrowing base reaffirmed at $1.85 billion in April 2021
• Reiterating annual production, free cash flow and capital guidance for 2021

Verde Bio Holdings, Inc. Announces Acquisition of Tri-Shale Portfolio of Mineral and Royalty Interest Verde Bio Holdings, a growing oil and gas Company, today announced that it has agreed to the purchase of a portfolio of mineral and royalty interests held by a private seller for a purchase price of $1,097,000 in cash. The interests to be acquired by Verde currently produces combined revenue of approximately $24,000 per month and Verde is entitled to the cash flow from production attributable to the acquisition beginning on or after May 1, 2021. The acquisition is expected to close on or before May 18, 2021.Acquisition Highlights:

• Oil rich Mineral Interest in Larimer County, Colorado operated by Petro Operating and Extraction Oil and Gas, who just announced a $2.6 Billion merger with dynamic DJ Basin pureplay operator, Bonanza Creek, to become Colorado’s first Net-Zero Oil and Gas Producer.
• 13 wells currently in production across the acquired acreage producing approximately $20,000 per month in revenue.
• Significant upside of expected, untapped revenue with two wells currently shut-in.Utica Shale producing Mineral Interest in Belmont and Monroe Counties in Eastern Ohio, operated by Gulfport Oil and Gas which has more than 205,000 net acres under lease in the Utica.
• Nine wells currently producing revenue of approximately $1500 per month with significant upside of three drilled uncompleted wells (DUC’s).

Coalition calling for pipeline scrutiny - Residents and members of some environmental groups near the path of the Falcon Pipeline are asking federal regulators for more answers and for more scrutiny of the Shell Pipeline project. The pipeline consists of two segments that both end at Shell’s facility in Monaca. One segment goes from the MarkWest facility in Cadiz, up to a facility in Scio and then through northern parts of Harrison and Jefferson counties. The pipeline crosses beneath the Ohio River and over to northern Hancock County before reaching its final destination. The second line goes from MarkWest’s Houston Plant in Washington County, Pa., and due north to Monaca. During Tuesday’s Zoom conference meeting, officials with the People Over Petro Coalition requested the federal agency in charge of oversight hold a public hearing to answer the group’s questions and to reconsider the permits already in place.Various members pointed out that in 2019, a whistleblower claimed there were defects in the pipeline construction and records were altered. “As residents, we need to be protected,” Heaven Sensky, a community organizer with the Center for Coalfield Justice who serves Washington and Greene counties in Southwestern Pa., said during the meeting. “We deserve to know that our government at all levels is working to keep us safe after they permitted this pipeline to come into our region.”Sensky went on to add that, “We need to know that Shell’s money and political influence won’t let them off the hook if they did something that puts us all in jeopardy. We need to know that the information they’re submitting is independently verified.” Others participating in the meeting included Tucker Harris, an Ohio landowner who said the pipeline runs 1,000 feet from his house. During a drilling operation, Harris said crews “blew out the end” of the pipeline. “Shortly thereafter, when we knew this was going on, I started getting a gray sludge in my well water,” Harris said. “I have water filters and we do have a well. I’ve actually saved my water filters and you pull the filters, it’s like a grey slime, which is what they actually use on the directional bores.”

ENERGY TRANSITIONS: 'Responsibly sourced' gas grows despite green washing claims -- Monday, May 10, 2021 --  Some of the biggest natural gas companies are moving to brand their product as low-emissions — a plan that could transform the industry even as it spurs accusations of green washing.

Country's 8th-largest natural gas producer to seek responsible certification - Pittsburgh Business Times - Another major Appalachian natural gas producer plans to seek environmental certification of its natural gas, joining other companies in the basin including EQT Corp., Chesapeake Energy and Southwestern Energy. Ascent Resources Utica Holdings LLC, the country’s eighth-biggest natural gas producer, made the announcement Thursday during its first-quarter earnings call with financial analysts. “We are working on several projects that will lead to certification of our Utica gas,” said Jeff Fisher, chairman and chief executive officer of the Oklahoma City, Oklahoma-based driller. It didn’t provide details. Ascent Resources is a privately held natural gas driller with assets in the Utica Shale, with about 340,000 net acres in southern Ohio. It produced 1.8 million cubic feet of natural gas, oil and natural gas liquids in the first quarter. It operated four drilling rigs and a hydraulic fracturing crew in the first quarter. Fisher said Ascent saw growing interest in the market for responsibly sourced natural gas, a designation that is being certified through third parties including MiQ and Equitable Origin and Project Canary. EQT and Chesapeake Energy are working through Project Canary, while EQT is also working with MiQ and Equitable Origin.\ Ascent also announced it had been invited to join the American Exploration & Production Council (AXPC), a trade association of independent oil and natural gas producers that is working to provide a voice on issues including methane reduction, corporate social responsibility and other issues. Other members include EQT, Cabot Oil & Gas Corp., Antero Resources Corp. and Encino Acquisition Partners. Fisher said that it had placed several of its executives in key committees at AXPC, which will provide what he called “a seat at the table” when it comes to issues of interest to the natural gas industry. Ascent has established a board committee on ESG issues and it plans to expand upon its current and new ESG initiatives later in the second quarter with its annual ESG report.

Pa. bill seeks to block towns from banning natural gas connections  -Pennsylvania is joining a host of states in considering bills promoted by natural gas utilities that would prohibit local governments from restricting or banning utility hookups based on the type of energy they supply.The bill is part of a nationwide effort by the natural gas industry to prevent more towns from following the example of communities in California, Washington and Massachusetts that passed local ordinances to restrict new gas connections to buildings as a tool for combating climate change.There is no sign that any community in Pennsylvania is considering such a ban, officials representing Pennsylvania township, borough and city governments said at a hearing of the state Senate’s local government and environmental resources committees Tuesday.Both critics and supporters of the bill said municipalities are already prevented by other state laws from regulating utility service.But local government officials are concerned that the bill, Senate Bill 275, is so broad and ambiguous it could be read to limit local governments from using their existing power to incentivize energy efficiency upgrades, for example, or regulate outdoor wood-fired boilers.“In our reading of the bill, any local action in the form of programs, policies, regulations, codes or ordinances that favor and encourage one type of energy over another would be prohibited,” said Amy Sturges, director of governmental affairs for the Pennsylvania Municipal League.The exact impacts of the bill are unclear, in part, because it uses generic terms that make it appear that the bill’s language “was not crafted specifically for Pennsylvania,” said Joe Gerdes, director of government relations for the Pennsylvania State Association of Township Supervisors. Pennsylvania is one of about 20 states to introduce similar legislation.

Drilling group notes delays in DEP's reviewing key earthmoving permit - The wait time has expanded for a key permit for natural gas producers to begin work on drilling wells in the Pennsylvania Department of Environmental Protection southwestern region, which the Marcellus Shale Coalition says is making it difficult and more expensive for drillers to carry out their work. An analysis of permitting delays by the Marcellus Shale Coalition finds the two major DEP regional offices responsible for the majority of the oil and gas permits in Pennsylvania vary widely when it comes to the time it takes to review the erosion and sediment control general permit. The ESCGP, as it's called, doesn't involve drilling per se. It's more elemental to the process, the approval drillers need before they can start to push dirt around to build the roads, pads and other infrastructure. No ESCGP, no wells. The southwest regional office, based in Pittsburgh, took an average of 143 days to review 30 of the permits, up 22% in time while reviewing 55% fewer permits than in 2015, the analysis found. The southwest regional office handled 68 permits with an average review time of 117 days in 2015. The northcentral office in Williamsport, on the other hand, reviewed 124 permits in an average 84 days. That compared to 74 permits and an average 42 days to review in 2015. A third office, in Meadville and covering the northwest region, reviewed 10 permits in an average 98 days in 2020, compared to 23 permits in 93 days in 2015. "We've seen an erosion on how DEP is processing these general permits," said David Callahan, president of the Marcellus Shale Coalition. The general permits are designed to address stormwater runoff and prevent erosion, managing the changes to the land during the construction of well pads, roads to and from the pad, and pipeline rights of way. There are other permits that drillers have to get from the DEP but the ESCGPs start the process. Callahan said the coalition has raised concerns about how long it has taken to review these permits in the past and the DEP has taken steps to address them. But he said that the time has increased since then. "We need to be rather adept to react to pricing, and waiting longer and longer certainly has detrimental impacts," Callahan said.

Rep. Otten reintroduces pipeline early-warning proposal -— State Rep. Danielle Friel-Otten, D-155th, of Uwchlan, has reintroduced legislation that would place the costs of early detection and warning systems on pipeline operators rather than taxpayers and ensure that these systems are in place prior to pipeline operation.  Pennsylvania law requires school districts, municipalities, and local emergency management agencies to implement disaster response and emergency preparedness plans consistent with guidelines developed by the Pennsylvania Emergency Management Agency.However, a recent ruling by the Pennsylvania Public Utility Commission found that pipeline operators have too often failed to provide any reliable means of monitoring pipelines for leaks or alerting communities of pipeline incidents, leaving local officials unable to fulfill their state-mandated emergency preparedness requirements. House Bill 1364, which Otten introduced as H.B. 1735 during the 2019-20 legislative session, seeks to address that failure by establishing a pipeline early detection and warning board. This board would collect fees from pipeline operators and distribute those funds to municipalities, school districts, or county governments for the development of early detection and warning systems to alert communities and emergency responders in the event of a pipeline incident. “For too long, Pennsylvania taxpayers and our local communities have borne all the risks and all the costs of pipeline operation,” Otten said. “My legislation properly places those costs on pipeline operators rather than taxpayers and helps to mitigate safety risks by ensuring that our municipalities, school districts, and emergency responders have the ability to develop emergency response plans and fulfill their statutory emergency preparedness requirements.”

Seneca Reports Big Jump in Natural Gas Production From New Pennsylvania Assets Seneca last July closed on a deal to acquire 450,000 net acres across the state including 350 producing Marcellus and Utica shale wells in Tioga County. Seneca, a subsidiary of National Fuel Gas Co. (NFG), said fiscal 2Q2021 production increased 43% year/year to 85.2 Bcfe.The bulk of the production gain came from the Eastern Development Area (EDA), which includes Tioga County. Net production increased by 21.2 Bcf year/year to 50.2 Bcf in the EDA, while volumes from Seneca’s Western Development Area in northwest Pennsylvania  increased 4.6 Bcf to 31.3 Bcf over the same time. The company was most active on the western side of the state, however, bringing online 13 wells in the WDA during its second quarter. “Our operations team did a great job turning these recent wells online a few weeks ahead of schedule, allowing us to accelerate production during the winter months, capturing premium winter pricing,” said Seneca President Justin Loweth. He took over for John McGinnis, who retired earlier this month. Loweth said Seneca’s production would decline over the remainder of the fiscal year, which ends in September. The company drilled 14 new wells during the second quarter, but both NFG’s FM100 expansion project and Transcontinental Gas Pipe Line Co.’s Leidy South project are expected to come online by the end of the year. “As we approach the online date for Leidy South and the winter heating season, we expect to accelerate our completion operations, and we plan to delay turning in line most of these new wells until early fiscal 2022 coinciding with the expected in-service date of our new capacity,”

Are Fossil Fuels Impoverishing Middle America? - IEEE Spectrum - The African nation of Equatorial Guinea is rich in oil and gas reserves, yet poor in most other ways. It has over a billion barrels of proved crude oil and over a trillion cubic feet of proved natural gas reserves. On key measures, through—life expectancy, education, per-capita income—it ranks near the bottom of the world—144th out of 189 countries, according to a 2019 United Nations Development report. I said Equatorial Guinea is rich in oil and gas reserves, and poor in most other ways, but I could have said it’s poor in most other ways precisely because it’s rich in oil and gas. Its economy has grown rapidly, but almost entirely on the back of oil revenues that have funded a luxurious lifestyle for the nation’s political elite, while diseases like malaria still haunt the land. In fact, much of the country lacks access to clean water and healthcare. Only one of four babies is immunized against polio and life expectancy and infant mortality are not only low by world standards, they’re below average for sub-Saharan Africa. Equatorial Guinea is, it turns out, a prime example of what’s called the Resource Curse. The economy underperforms, in every other way, not just despite, but because of, this one natural resource. The country also has lots of arable land, and an abundance gold, uranium, and diamond deposits. But those have gone largely unexploited. There’s no need on the part of the elite to expand the economy beyond the windfall of oil and gas royalties, and no opportunity to do so by everyone else. I suppose it’s elitist and maybe even nationalistic of me, but imagine my surprise to hear the phrase “resource curse,” which I associate with the developing world, used recently in a webinar in the context of a region of the United States. The region is northern Appalachia, comprising 22 counties in eastern Ohio, western Pennsylvania, and northern West Virginia. And the curse is, as it so often is in the third world, a surfeit of oil and especially natural gas, in this case extractable largely through the relatively new process of fracking. Here to explain how the resource curse is impoverishing communities in the middle of the U.S. in the middle of the 21st century is Sean O’Leary. He’s a senior researcher at the Ohio River Valley Institute and the author of its recent report, “Appalachia’s Natural Gas Counties: How dreams of jobs and prosperity turned into almost nothing.”

NJ lawmakers ask Biden administration for new PennEast pipeline study – Two Central Jersey members of the House of Representatives have asked the Biden administration to revisit the environmental studies of the proposed PennEast pipeline.In a letter this week to President Joe Biden, Reps. Tom Malinowski, D-Hunterdon,  and Bonnie Watson Coleman, D-Mercer, expressed "grave concern" over the  $1 billion, 116-mile natural gas pipeline from Luzerne County, Pennsylvania, that would cross the Delaware River north of Milford, then parallel the river through western Hunterdon County before ending at Transco’s trans-continental pipeline near Pennington in Mercer County."For several years now, landowners in our New Jersey districts have been living in fear that their property will be taken or irreparably altered to make way for a pipeline that our state doesn’t want or economically need," the representatives wrote. "We have been meeting with constituents who live up and down the pipeline’s proposed route through western New Jersey and have seen firsthand the farms it would decimate, the waterways it would pollute, and the rural way of life it would destroy."The representatives told Biden that that the Federal Energy Regulatory Commission's approval of the pipeline is "a blatant example" of disregard for the National Environment Protection Act and environmental regulatory agencies. "The EPA gave PennEast’s Environmental Impact Statement a failing grade; citing significant concerns with the release of arsenic into the soil and groundwater, and noting unacceptable threats to 56 acres of wetland, and 633 acres of forest currently essential to the management of toxic runoff," the representatives wrote. "That failing grade should have been enough to halt PennEast’s certification process until those environmental impacts had been addressed."

Proposed Natural Gas Plant In Peabody On Hold, For Now  - The Massachusetts Municipal Wholesale Electric Company (MMWEC) paused plans to build a natural gas power plant in Peabody to address concerns raised by local residents and advocacy groups.In a statement released Tuesday, the company called 30-day pause "an unusual step," noting that the project has been in development and open to public review for more than three years, and has already secured permits from the state.Get the news Boston is talking about sent to your inbox every weekday morning.Sign up now.Company CEO Ron DeCurzio, calling MMWEC "a proven leader in carbon-free technology," said in the statement that technology has changed since the project — officially known as 2015A — was first proposed more than five years ago, necessitating a pause and design review.The announcement comes after 87 Massachusetts health care professionals, many from the North Shore, released a letter opposing the plant on Monday, expressing concern over air pollution and climate change."The air pollution associated with the new plant will increase mortality within the Peabody community," said the letter. It also says the project, by expanding natural gas infrastructure in the state, is "antithetical" to the commonwealth's new climate law.

‘Your Invisible Friend’: Parents outraged by pro-gas booklets made by Eversource used in Mass. school – (AP) — The father of a Cambridge, Massachusetts, elementary school student said Monday he was shocked when he pulled two activity booklets from his son’s backpack that had been distributed at his school, including one titled: “Natural Gas: Your Invisible Friend.” Both were published by the energy utility Eversource and paint a rosy picture of the fossil fuel. An inside page of one of the booklets declares “Natural Gas Is Great,” and encourages students to connect speakers like a popcorn plant manager and a bus rider to statements like “it’s a safe, clean, efficient fuel to use in our plant,” and “I like the fact that while I commute to work I am using a natural gas vehicle that reduces harmful air pollutants.” Both booklets carry the Eversource logo on their covers and also include natural gas safety tips, like keeping paper towels away from gas stoves. Gleb Bahmutov, a 41-year-old software engineer, said he was disturbed to learn that the booklets in his nine-year-old son’s backpack had been distributed to him and other students attending the Tobin Elementary School. Bahmutov said he was not only surprised the school was giving out material from a company, but was angered that the booklet painted natural gas in such glowing terms with no mention of the wider impact of fossil fuels on the climate or of the option of renewable forms of energy. “Eversource is not a company that should be publishing activity books,” Bahmutov said. “It sounds like propaganda and I was born in the Soviet Union, so I don’t use that term lightly.”

Living Near Fracking Wells Is Linked to Higher Rate of Heart Attacks, Study Finds - Living among fracking wells is linked to higher rates of hospitalizations and deaths due to heart attacks, according to a new study.The study, published in the Journal of Environmental Research, compared heart attack rates in Pennsylvania counties with fracking to demographically similar counties in New York where fracking is banned."There's a large body of literature linking air pollution with poor cardiovascular health and heart attacks, but this is really the first study to look at this from a population level related to fracking," Elaine Hill, a researcher at the University of Rochester Medical Center and one of the study's co-authors, told EHN.Hill and her colleagues looked at hospitalization and mortality records in 47 counties in New York and Pennsylvania from 2005-2014 (the most recent data available at the time the study was initiated) and found that heart attack hospitalization rates were higher on the Pennsylvania side of the border by 1.4–2.8 percent, depending on the average age and density of fracking wells in a given county. Living near a higher density of wells translated to a greater risk of heart attacks.They also found that middle-aged men living on the Pennsylvania side of the border were 5.4 percent more likely to die of a heart attack than their counterparts in New York. The authors speculate that this link may be stronger in middle-aged men because they're more likely to work in the industry and have higher levels of exposure as a result.The researchers were not able to control for lifestyle factors like smoking and drinking due to a lack of data, but they did assess demographics at the county-level to ensure they were looking at communities with similar economic and racial makeups on both sides of the border. They analyzed different age groups separately across the counties, and also adjusted for coal production in each county (another factor that can increase heart attack risk) and for rates of access to health insurance, which may influence whether people go to the hospital when having a heart attack.While numerous studies have compared economic differences between the two states, this is the first to use this "natural experiment" to compare human health outcomes on both sides of the border. A 2020 study conducted by veterinarians similarly found that horses raised near fracking wells on the Pennsylvania side of the border had higher rates of a rare birth defect than horses raised by the same farmer on the New York side.Fracking and the increased truck traffic created by the industry raise levels of air pollution significantly, and exposure to air pollution raises heart attack risk. Living near fracking wells is also linked to heightened stress levels, which is another contributor to cardiovascular disease.Alina Denham, the study's lead author, said their findings are in line with previous research. She pointed to a2019 paper that found higher levels of physical markers associated with heart attack risk in people who live near fracking. Still she said, "Additional research is needed to figure out exactly how exposure to fracking wells leads to increased heart attack risk."

Marathon Refinery Near Ashland Exceeds EPA Levels For Cancer-Causing Pollutant – 89.3 WFPL News Louisville - A Marathon oil refinery in eastern Kentucky is one of 13 refineries across the country that released harmful levels of a cancer-causing pollutant, according to a report from the nonprofit Environmental Integrity Project.Fence line readings for benzene jumped 233% between 2019 and 2020 at the Catlettsburg Marathon refinery near Ashland, and were 11% above action levels designated by the U.S. Environmental Protection Agency.Benzene is a common pollutant found in oil and a known human carcinogen. The increase in benzene levels at the Catlettsburg Marathon refinery is likely the result of two leaks from March and October, said Eric Schaeffer, Environmental Integrity Project executive director. “When you get concentrations that high, you really need to get in gear and get on top of it and try and fix it,” Shaeffer said. Communities living near the fence lines of heavy industry bear a disproportionate pollution burden compared to those who live farther away. Nearly 12,000 people live within 3 miles of the Catlettsburg refinery, 44.6% of whom live in poverty, according to theEIP report. The Catlettsburg refinery was one of two Marathon refineries included in the report. The other was a refinery in Port Arthur, Texas. A Marathon spokesman said the releases were the result of “one-time events” that have since been addressed.  The EPA measures air pollution at the fence lines of oil refineries under the Clean Air Act. The benzene levels were measured under the 2015 Clean Air Act rule, which requires refineries to investigate and clean up sources of benzene emissions when air monitoring shows annual concentrations exceeding EPA action levels of 9 micrograms per year.

 Private land taken for a pipeline: At what price? --For the first time since a natural gas pipeline used its power of eminent domain to take private property three years ago, a jury is being asked to determine a fair price.A trial began Tuesday to decide just compensation for James and Kathy Chandler, whose 111-acre rural property and custom-built home atop Bent Mountain will be bisected by the Mountain Valley Pipeline.U.S. District Judge Elizabeth Dillon ruled in 2018 that Mountain Valley had a right to begin construction on 8.6 acres of the land — over the objections of the Chandlers, who see it as a nightmare to their dream home.“You’ll see the ugly scar the pipeline is cutting across the Chandler property, and how it is forever altering their use of the property,” Stephen Clarke, an attorney for the Chandlers, told the jury.When Dillon granted Mountain Valley immediate possession of an easement through the land, it was part of a giant case that involved about 300 properties in Southwest Virginia that the 303-mile pipeline needed to pass through.Since then, each landowner has had a separate proceeding to determine how much they should be paid by the Pittsburgh-based joint venture of five companies building the pipeline.Many of the cases have been settled, either through voluntary agreements struck between landowners and Mountain Valley or after a judge’s ruling on evidentiary issues forced a resolution. About a dozen cases remain open, according to court records.Although a key part of the opposition to Mountain Valley has been the way it took private land for its own profit, that will not be in question during the trial. Under the Natural Gas Act, the power of eminent domain was a given once it was established that the pipeline would serve a public good. Rather, the jury will be asked to determine a fair market value of a landowner’s loss — putting a highly emotional issue largely in the hands of appraisers.In his opening arguments, Clarke did not delve into the numbers. Instead, he told the jury about how the Chandlers had long dreamed of moving to the Bent Mountain community in Roanoke County. They found the perfect piece of land and decided to build a luxury home that “would look old but feel new,” Clarke said. Parts from a historic barn and a log cabin were used as furnishings, and the Chandlers hauled rocks from their mountain land to construct beautiful stone fireplaces.When it was done, “they knew they could come home and be at peace,” Clarke said.Then, about seven years ago, Mountain Valley announced plans for a buried pipeline that would transport natural gas at high pressure from northern West Virginia to Pittsylvania County, where another pipeline would take it to markets in the Mid-Atlantic and Southeastern regions of the country. “It cuts through the heart of their property,” Clarke said. “For the last three years, they’ve lived next to a construction zone.”

U.S. natgas futures ease on milder weather forecast (Reuters) - U.S. natural gas futures eased on Monday on forecasts for milder weather and lower heating demand next week than previously expected. Traders also noted prices were down with a small increase in output and a small decline in exports. Front-month gas futures NGc1 fell 2.6 cents, or 0.9%, to settle at $2.932 per million British thermal units. But with cooler weather expected this week, speculators last week boosted their net long gas futures and options positions on the New York Mercantile and Intercontinental Exchanges to their highest since early March. Data provider Refinitiv said gas output in the Lower 48 U.S. states averaged 91.0 billion cubic feet per day (bcfd) so far in May, up from 90.6 bcfd in April, but well below November 2019's monthly record of 95.4 bcfd. Refinitiv projected average gas demand, including exports, would fall from 88.0 bcfd this week to 82.7 bcfd next week as the weather turns seasonally warmer. That forecast for next week was lower than Refinitiv estimated on Friday. The amount of gas flowing to U.S. LNG export plants averaged 11.4 bcfd so far in May, down from April's monthly record of 11.5 bcfd. Buyers around the world continue to purchase near-record amounts of U.S. gas because prices in Europe and Asia remain high enough to justify the cost of buying and transporting the U.S. fuel across the ocean.

June Natural Gas Futures Reverse Course, Climb with Exports Steady, Cyberattack Resolution in View --Natural gas futures on Tuesday bounced back from the prior session’s losses, as export demand and other key fundamentals held strong, while a critical oil pipeline signaled it could restore operations this week following a ransomware attack.The June Nymex contract advanced 2.3 cents day/day and settled at $2.955/MMBtu. July gained 2.1 cents to $2.999.Each had declined 2.6 cents on Monday amid worries about the cybersecurity breach involving Colonial Pipeline Co. The company operates a key delivery system spanning from the Gulf Coast to the East Coast for transportation fuels and other refined petroleum products.Cash prices on Tuesday ticked lower. NGI’s Spot Gas National Avg. declined 2.0 cents to $2.725.Liquefied natural gas (LNG) levels again topped 11 Bcf on Tuesday. Feed gas volumes have held above the 11 Bcf and near record levels for eight consecutive days as European and Asian demand for U.S. exports of the super-chilled fuel are holding strong.EBW Analytics Group estimated that LNG feed gas demand has averaged 2.2 Bcf/d higher year-to-date when compared with the same period in 2020, “with comparisons only projected to grow further into mid-summer.”

Rosy LNG Outlook Helps June Natural Gas Futures Extend Gains -- Natural gas futures advanced for a second straight day on Wednesday as production dipped and all indications pointed to continued strong demand for U.S. liquefied natural gas (LNG). The June Nymex contract settled at $2.969/MMBtu, up 1.4 cents day/day. July rose 1.9 cents to $3.018. NGI’s Spot Gas National Avg., however, declined 2.0 cents to $2.705 amid waning weather-driven demand. While always subject to revisions, production estimates at the start of trading Wednesday hovered around 89 Bcf, roughly 1 Bcf below recent averages and well below pre-pandemic levels. At the same time, LNG feed gas volumes hung near 11 Bcf, far above year-earlier levels. Both Asian and European demand for U.S. exports of the super-chilled fuel is expected to hold strong through the summer cooling season. European gas storage was depleted over a freezing winter and chilly spring, driving demand and higher prices for U.S. LNG. Elevated needs in Europe are boosting prices – and near-term demand – in Asia as well, as traders pay up to attract shipments, according to analysts. U.S. LNG export terminals “are running at their operationally available and contracted levels and will continue to do so, with no economically driven cargo cancellations anywhere on the horizon,” RBN Energy LLC analyst Lindsay Schneider said Wednesday. “Global gas prices are well supported by low storage levels in Europe, and it will take time to refill inventories, which means these high prices are not going away anytime soon.

US EIA reclassifies gas in South Central region resulting in 71 Bcf storage injection | S&P Global Platts --US natural gas storage volumes expanded by 71 Bcf, or 1 Bcf more than an S&P Global Platts' survey expected, as 4 Bcf of working gas stocks in the South Central region were reclassified to base gas. Storage inventories increased to 2.029 Tcf for the week ended May 7, the US Energy Information Administration reported May 13. The build measured less than the five-year average of 82 Bcf and the 104 Bcf addition reported in 2020. Storage volumes now stand 378 Bcf, or 15.7%, less than the year-ago level of 2.407 Tcf and 72 Bcf, or 3.4%, less than the five-year average of 2.101 Tcf. The South Central region is driving the largest portion of the mounting deficit, with stocks 197 Bcf lower year over year. This is due in part to substantial demand growth that has accrued in the area. Total demand for the week ended May 7 averaged 8 Bcf/d higher than a year earlier, according to S&P Global Platts Analytics. Much of the growth stems from higher feedgas deliveries to Gulf Coast LNG facilities and stronger exports to Mexico. The NYMEX Henry Hub June contract was static at $2.97/MMBtu in trading on May 13. The balance-of-summer averaged $3.01/MMBtu, or 14 cents below the upcoming winter strip, November through March. Platts Analytics' supply and demand model currently forecasts a 55 Bcf injection for the week ending May 14, which would measure 31 Bcf less than the five-year average. Residential and commercial loads are up by roughly 3 Bcf/d week over week. The spike in home heating demand was softened somewhat by a 1.9 Bcf/d drop in power burn demand. Overall, total demand is up 1.3 Bcf/d week over week, averaging 87.1 Bcf/d. Upstream, supplies have been notably flat, with the largest change coming from a 200 MMcf/d increase in net Canadian imports to meet rising res-comm demand, followed by a 100 MMcf/d increase in onshore production, bringing total supplies up by about 400 MMcf/d on the week to an average 95.1 Bcf/d. Lower US gas yields have tightened supply just as Mexico and LNG exports have been rising resulting in tighter balances and increased gas-to-coal switching. With stocks heading into summer on the low side the outlook looks bullish especially if the weather turns hot. However, Platts Analytics believes the current forward curve is a little overdone and production will grow at these prices as wind and solar will increasingly offset gas-fired power demand.

U.S. natgas eases from 11-week high as exports decline (Reuters) - U.S. natural gas futures slipped on Friday from an 11-week high in the prior session as exports declined and production edged up, as well as on forecasts for mild weather and lower demand next week. Traders noted that price decline came even though the weather was expected to warm up in two weeks, which should prompt power generators to burn more gas as homes and businesses crank up their air conditioners. Front-month gas futures NGc1 fell 1.2 cents, or 0.4%, to settle at $2.961 per million British thermal units. On Thursday, the contract closed at its highest since Feb. 19 for a second day in a row. Despite the small daily decline, the contract gained less than 1% during the week, putting it up for a fifth week in a row for the first time since October 2020. Data provider Refinitiv said gas output in the Lower 48 U.S. states averaged 90.8 billion cubic feet per day (bcfd) so far in May, up from 90.6 bcfd in April, but still well below November 2019's monthly record of 95.4 bcfd. Refinitiv projected average gas demand, including exports, would fall from 87.2 bcfd this week to 80.8 bcfd next week as the weather turns milder before rising to 85.4 bcfd in two weeks with the start of air conditioning season. The amount of gas flowing to U.S. LNG export plants averaged 11.1 bcfd so far in May, down from April's monthly record of 11.5 bcfd. That's because U.S. LNG feedgas was on track to hold near 10.1 bcfd for a third day in a row on Friday, its lowest since early March when the plants were recovering from the February freeze in Texas, according to preliminary data from Refinitiv. The decline was due to reductions at Cameron in Louisiana and Corpus Christi in Texas. 

 Largest U.S. fuel pipeline remains mostly closed days after cyberattack with no timeline for reopening -Colonial Pipeline is working to restore service and has some smaller lateral lines between terminals and delivery points operating again, the company announced Sunday afternoon. The company, the operator of the country's largest fuel pipeline, temporarily suspended all operations due to a ransomware attack on Friday. Its four mainlines remain offline. Colonial said it's developing a restart plan, but provided no timetable as to when full service will be restored. "We are in the process of restoring service to other laterals and will bring our full system back online only when we believe it is safe to do so, and in full compliance with the approval of all federal regulations," Colonial said in a statement. The federal government is working to avoid supply disruptions after the company suspended operations, U.S. Commerce Secretary Gina Raimondo said Sunday morning. "This is what businesses now have to worry about," Raimondo said during an interview on CBS' "Face the Nation." "Unfortunately, these sorts of attacks are becoming more frequent. They're here to stay." President Joe Biden has been briefed on the ransomware attack and the F.B.I. said it's working closely with Colonial Pipeline and government partners to address the situation. The Department of Energy is leading the federal response, according to Colonial. The Department of Homeland Security's Cybersecurity and Infrastructure Security Agency is coordinating with the company. Colonial said it learned Friday that it "was the victim of a cybersecurity attack" and has since shut down 5,500 miles of pipeline that carry nearly half of the fuel supplies on the East Coast, raising fears of spot shortages of gasoline, diesel and jet fuel. The pipeline is the largest refined products pipeline in the nation, according to Colonial. "It's an all hands on decks effort right now," Raimondo said. "We're working closely with the company, state and local officials to make sure that they get back up to normal operations as quickly as possible and there aren't disruptions to supply."

US Declares State Of Emergency To Keep Gasoline Flowing After Colonial Fails To Restart Hacked Pipeline  --Just in case the US didn't already have a "transitory hyperinflation" problem, gasoline futures soared more than 4% - and are likely to jump much more - late on Sunday after the Colonial Pipeline announced that while some smaller lateral lines between terminals and delivery points are now operational, its mainlines (Lines 1, 2, 3 and 4) remain offline since late Friday after the company suffered a crippling cyberattack that affected its key IT systems. Colonial operates Line 1 for gasoline and Line 2 for diesel and jet fuel from Pasadena, Texas, some 15 miles from the nation’s largest refineries, to Greensboro, North Carolina, at a combined 2.5 million barrels a day. They merge at Greensboro to feed a line carrying about 900,000 barrels a day into New York Harbor, and other East Coast pipelines. Colonial said that it is "in the process of restoring service to other laterals and will bring our full system back online only when we believe it is safe to do so, and in full compliance with the approval of all federal regulations." Full statement below: Meanwhile, downstream customers, which includes pretty much the entire Eastern seaboard, are starting to freak out as they face a new week without the primary source of gasoline supply for hundreds of millions of customers. Update 9:00pm ET:  The US government declared a state of emergency late on Sunday, lifting limits on the transport of fuels by road in a bid to keep gas supply lines open as fears of shortages spiked after the continued shutdown of the Colonial Pipeline. “This Declaration addresses the emergency conditions creating a need for immediate transportation of gasoline, diesel, jet fuel, and other refined petroleum products and provides necessary relief,” the Department of Transportation said. White House Press Sec Jen Psaki added that "as the Administration works to mitigate potential disruptions to supply as a result of the Colonial Pipeline incident, @USDOT is taking action today to allow flexibility for truckers in 17 states."  The move lifted limits on the transport of fuels by road to ease the fallout from the continuing closure of the Colonial pipeline, which carries almost half the fuel consumed on the US East Coast, following a ransomware cyber attack on Friday.  The decision comes as the government scrambles to deal with the fallout from the closure of Colonial, the biggest refined products pipeline in the US, transporting 2.5m barrels of fuel a day from refineries on the Gulf Coast to markets such as Atlanta, Washington and New York (see more below).  If the pipeline is not quickly reopened the impact on prices could become more severe in the coming days, said Patrick De Haan, head of petroleum analysis at data provider GasBuddy. “We’re realizing the gravity of it is maybe worse than what we’d expected,” said De Haan. “There’s still a little breathing room, we’re starting to run low on it. But Monday, Tuesday if there’s no news, you know we’re dealing with something fairly significant.”

US Scrambles to Transport Gasoline After Colonial Pipeline Hack - In an attempt to stave off a potential gasoline shortage and price spike on the East Coast, the Biden administration has issued an order allowing some truck drivers transporting gasoline to work overtime. The move follows the shutdown of one of the nation’s most crucial pipelines after it was hit by one of the biggest cyberattacks against oil and gas infrastructure in U.S. history.On Friday, the owners of Colonial Pipeline announced that the company was victim to a ransomware attack, and that it had temporarily halted all operations as it worked to secure its IT system in response. While some of the smaller lines have since come back online, as of Monday, the pipeline’s main arteries remained shut down for an indeterminate amount of time.The Department of Transportation declared a state of emergency in response to the shutdown in 17 states and the District of Columbia, waiving certain requirements for motor carriers and drivers who are working to address the shutdown. They can now drive beyond the normal 11-hour-per-day limit. That’s an attempt to help stave off fuel shortages given that the Colonial pipeline network provides around 45% of the gasoline used in the region.Despite the catastrophes that pipeline spills can pose to public health and the environment (look no further than the 1.2-million-gallon-plus spill the Colonial pipeline unleashed in August in North Carolina, as well as explosions along the main line in Alabama that killed one worker and injured several others in 2016), freight transport of oil and gas is a much riskier prospect. Trucks and trains are some of the least safe ways to transport oil and gasoline, and, accordingly, account for only a small percentage of the petroleum products moved around the country each year. Road and rail transport are also much more expensive than pipeline transport. If the shutdown keeps more tankers on the road ferrying gasoline, that could alsocontribute to a rise in prices at the pump. Just keeping drivers on the road longer—especially given the fact that the trucking industry said a few weeks ago that it’s lacking qualified tanker drivers to meet demand in normal times—isn’t enough of a solution to the looming shortage. The East Coast has access to fuel supplies imported from Europe, but those are more expensive than domestic sources. The region also can tap into some hundreds of thousands of barrels of oil in storage, but those supplies would be “little more than a Band-Aid” in an extended shutdown, ClearView Energy Partners, a research firm, said in a statement to clients. And while the U.S. has access to foreign-flagged vessels it could tap to help transport fuel to the East Coast, it would require that the president waive the Jones Act, a 100-year-old law that requires only U.S.-produced boats and barges be used to transport goods between domestic ports.

 Gasoline futures turn lower following earlier surge due to pipeline cyberattack - Futures for fuel prices turned lower after jumping to their highest levels in nearly three years overnight. The pullback came even as much of one of the largest pipelines in the U.S. remains closed following a cybersecurity attack.The owner, Colonial Pipeline, said Sunday evening that some of its smaller lateral lines between terminals and delivery points are once again online, so traders may be reassessing the risk of a longer shutdown that would boost prices.Gasoline futures gave up most of their gain and fell into the red, retreating by 0.2% to $2.122 per gallon. At one point in the overnight session, gasoline futures jumped as high as $2.216, levels not seen since May 2018.Colonial, which operates the largest pipeline carrying fuel from the Gulf Coast to the Northeast, "halted all pipeline operations" on Friday night as a proactive measure following the ransomware cyberattack. A criminal group known as Dark Side may be responsible for the attack, NBC News reported, citing two sources familiar with the matter.While tank farms typically have a few days of stored fuel supply, a prolonged outage could lead to a spike in fuel prices. Analysts say a shutdown beyond five days could translate to higher prices.On Monday, Cybereason provided CNBC with a new statement from DarkSide's website that appears to address the Colonial Pipeline shutdown. DarkSide said it's an apolitical organization and only wants to make money without causing problems for society.In an attempt to maintain fuel supplies along the Eastern Seaboard, the U.S. declared a state of emergency in 17 states and the District of Columbia on Sunday evening.

East Coast motorists finding offline fuel pumps.  -- Gas stations along the U.S. East Coast are starting to run out of fuel as North America’s biggest petroleum pipeline fights to recover from a cyberattack that has paralyzed it for days. From Virginia to Florida and Alabama, fuel stations are reporting that they’ve sold out of gasoline as supplies in the region dwindle and panic buying sets in. The White House said it was aware of shortages in the Southeast of the country and was trying to alleviate the problem. Four days into the crisis, Colonial Pipeline Co. has only managed to manually operate a small segment of the pipeline -- as a stopgap measure -- and doesn’t expect to be able to substantially restore service before the weekend. The risk is that by that point drivers or airlines may already be suffering severe fuel shortages, while refineries on the Gulf coast could be forced to idle operations because they have nowhere to put their product. U.S. average retail gasoline prices have risen to their highest since late 2014 due to the disruption, almost touching $3 per gallon. That could add to broader inflationary pressures as commodity prices from timber to copper also surge. The Colonial pipeline is the most important conduit to distribute gasoline, diesel and jet-fuel in the U.S., moving the products from the refiners based on the Gulf coast into urban areas from Atlanta to New York and beyond. Each day, it ships about 2.5 million barrels -- more than the entire oil consumption of Germany -- connecting more than 20 refineries with about 200 distribution centers. The vital conduit has been shut down since late Friday. Without the Colonial pipeline, many cities and airports must seek alternative supplies, either fuel imported by tanker or, if landlocked, relying on trucks. In the first sign of the potential disruption to air travel, American Airlines Group Inc. said it was adjusting two long-haul routes that originate in Charlotte, North Caroline, to add fuel stops. Flights to Hawaii will call in at Dallas-Forth Worth airport, while London-bound aircraft will make a stop in Boston. Airlines flying out of Philadelphia International Airport are burning through jet-fuel reserves and the airport has enough to last “a couple of weeks,’ a spokeswoman said. The U.S. East Coast is losing around 1.2 million barrels a day of gasoline supply due to the disruption.

EPA, DOT move to boost gasoline availability after Colonial Pipeline cyberattack - The Environmental Protection Agency and the Department of Transportation announced separate actions Tuesday to make more gasoline available for sale on the East Coast, in hopes of averting fuel shortages as the Colonial Pipeline remains almost entirely shuttered by last week's cyberattack.The steps included an EPA fuel waiver issued Tuesday morning allowing retailers in D.C. and parts of Pennsylvania, Maryland and Virginia to sell dirtier-burning gasoline than ozone pollution regulations would normally allow. It expanded the waiver Tuesday night to add all or part of nine additional states, including Alabama, Delaware, Georgia, the Carolinas and Florida.Separately, DOT said it is considering a "temporary and targeted" waiver of the Jones Act, a much-debated law that forbids foreign-owned, operated or built ships from carrying goods between U.S. ports. That waiver would also be aimed at helping fuel supplies get where they're needed.States including Virginia have also issued emergency declarations allowing their own agencies to waive rules to ease fuel backlogs.The moves came as the Biden administration made repeated assurances that it is trying to forestall fuel shortages, while warning that some may occur anyway."These states who are impacted, even with the turning on of the pipeline system, they still may feel a supply crunch as Colonial fully resumes," Energy Secretary Jennifer Granholm said during a briefing with reporters. "But the American people can feel assured that this administration is working with the company to get it resumed as soon as possible."EPA's action: The Energy Department agreed with the agency's waiver, EPA Administrator Michael Regan wrote Tuesday, calling the cyberattack an "extreme and unusual" occurrence "that could not reasonably have been foreseen and is not attributable to a lack of prudent planning on the part of suppliers of the fuel to these areas."

U.S. pipeline outage spurs refiners to book tankers to store fuel - (Reuters) -Refiners booked at least five tankers to store gasoline stranded at U.S. Gulf Coast plants following a cyberattack that crippled the biggest fuel pipeline in the country, according to sources and shipping data on Tuesday. The attack on the Colonial pipeline network, which supplies half of the fuel consumed along the East Coast, has forced Gulf Coast refineries to scale back operations due to lack of storage space. North Carolina suspended restrictions on fuel shipments to combat gasoline shortages. The tankers, booked by Marathon Petroleum, Valero Energy, Phillips 66 and PBF Energy, can hold around 350,000 tonnes of fuel. Two of them were booked for up to a month, and three were provisional bookings that could be cancelled, according to data and shipbroking sources. Colonial on Friday shut its 5,500-mile (8,850-km) pipeline network, which moves fuels including gasoline, diesel and jet fuel, to protect its systems. It has restarted some smaller lines. In the wake of the outage, traders also booked several tankers to ship gasoline and diesel from Europe to the U.S. East Coast. French oil major Total SE and commodities trading houses Vitol and Trafigura each booked 90,000-tonne tankers to ship diesel on the transatlantic route, shipping data showed, a relatively rare route as Europe consumes more diesel than it produces. Several Gulf Coast refiners that rely on Colonial for shipments have cut output. Total and Motiva Enterprises cut gasoline production at their Port Arthur, Texas refineries and Citgo Petroleum pared back at its Lake Charles, Louisiana, plant, sources told Reuters.

In the Colonial Pipeline Mess, Tanker Trucks Come to the Rescue -ON WEDNESDAY NIGHT, the Colonial Pipeline Company, which operates the country’s largest pipeline system for refined oil, reported that the 5,500-mile system was finally up and running again, with service slated to return to normal by week’s end. It had been four days since the pipeline went down in a historic—and frightening—ransomware attack. And yet, as of Thursday morning, cars continued to snake around gas stations up and down the Eastern seaboard, waiting their turn to fill up at the tank. Turns out that if you tell people something is threatening their petroleum supply, they will freak out and buy a lot of it. The National Association of Convenience Stores reported Wednesday that stations are doing two to four times their usual business, with some retailers clearing several days’ worth of gas—around 16,000 gallons per station—in a few hours. It’s the kind of purchasing behavior the industry usually sees around hurricanes, says Jeff Lenard, the association’s vice president of strategic industry initiatives. The panic buying has spilled into areas that don’t even get their gas from the Colonial Pipeline: On Wednesday, the association reported elevated sales as far south as Naples, Florida, a region that gets its gasoline off of cargo ships. The pipeline shutdown did lead to some supply issues, industry executives say. But many of the gas shortages at retail locations are happening because petroleum is simply in the wrong place. Mostly unable to use the pipeline the past few days, the oil and gas industry has turned to other modes of transportation: rail, vessels, and, most of all, tanker trucks. A lot of tanker trucks. Usually, tanker trucks are the last element of oil’s long journey from refinery to fuel tank. Ships, rail lines, and pipelines do the bulk of the work, delivering gas to distribution terminals scattered around the country. Trucks finish up the journey, from distribution terminal to one of the country’s 150,000 gas stations. Because of the pipeline slowdown and the uptick in demand everywhere, truckers are now having to make faster turnarounds and sometimes longer trips—as much as an extra 80 to 180 miles each time, according to Ryan Streblow, the interim president of National Tank Truck Carriers, an industry group.

The hackers behind the Colonial Pipeline cyberattack said they didn't mean to cause problems and will 'introduce moderation' in future targets - The group accused of carrying out the Colonial Pipeline cyberattackhas said it never intended to cause disruption to society, and would approach targets differently in the future. A ransomware group compromised the pipeline on Friday and demanded money in exchange for its release. The pipeline was shut down by its operators as a result.The pipeline network, which runs from Texas to New York, is one of the country's largest, transporting about 45% of the East Coast's fuel, the operator said.The FBI said on Monday that DarkSide ransomware was responsible for the hack. DarkSide appeared to claim responsibility for the hack, saying in a Monday statement its goal was not to cause disruption, and that it would approach targets differently in the future."Our goal is to make money and not creating problems for society," the group said in a statement. "From today, we introduce moderation and check each company that our partners want to encrypt to avoid social consequences in the future."

Colonial aims to 'substantially' restore pipeline operations by end of week --The Colonial Pipeline Company said that it hopes to “substantially” restore the operations of its pipeline by the end of the week following a ransomware attack that led to its shutdown. It said in a statement that segments of the Colonial Pipeline, which transports oil from Texas to the East Coast, are being “brought back online in a stepwise fashion” and that its plan will take a “phased approach” for returns to service. “This plan is based on a number of factors with safety and compliance driving our operational decisions, and the goal of substantially restoring operational service by the end of the week,” the statement said, noting that the company will provide updates on its progress. The company also said that the federal government’s moves to exempt motor carriers and drivers from hours limitations is expected to “help alleviate local supply disruptions.” Colonial announced over the weekend that it would shut down the 5,500 mile-pipeline after a ransomware attack breached its IT system. It did so to prevent the attackers from accessing its operational technology. The pipeline supplies about 45 percent of the East Coast’s fuel supply. Analysts told The Hill on Monday that the impacts of the shutdown would depend on how long the pipeline’s main segment remains offline.

Colonial Pipeline starts limited shipments amid fears of fuel shortages - The Colonial Pipeline resumed limited shipments on Monday, delivering fuel from North Carolina to a terminal in Maryland, in the first stage of what still could be a slow restarting of the main pipeline from Houston's refineries to the East Coast after a cyberattack forced its shutdown last week. The announcement fell far short of a return to service for Colonial's entire 5,500-mile line, which supplies 45 percent of gasoline, diesel and jet fuel to the East Coast is back in operation. And even if the pipeline resumes service by the weekend, as Colonial promised Monday, that may not be enough to prevent fuel shortages in parts of the country. The White House said late Monday that it was actively prepping for possible disruptions. "We are monitoring supply shortages in parts of the Southeast and are evaluating every action the Administration can take to mitigate the impact as much as possible," press secretary Jen Psaki said in a statement. Colonial shut the pipeline on Friday after the company's corporate computer systems were hit by a ransonware attack, raising fears of a spike in gasoline prices going into the peak summer driving season. News earlier Monday that the pipeline company was planning a phased restart helped tamp down an early jump in wholesale prices, but the attack on the crucial energy infrastructure has left energy markets on edge. The company late Monday statement did not disclose what type of fuel Colonial is shipping in the stretch of pipe that runs from Greensboro, N.C., to Maryland, but it said the main lines from the refining hub near Houston to North Carolina remained shut.

Colonial announces pipeline restart, says normal service will take 'several days' -- Colonial Pipeline, operator of the largest U.S. fuel pipeline, said Wednesday it is restarting operations after being shut down for five days due to a cyberattack.The company shut down its entire operation Friday after its financial computer networks were infected by a Russia-tied hacker gang known as DarkSide, fearing that the hackers could spread to its industrial operations as well.The shutdown led to widespread gasoline shortages and caused temporary price spikes. The U.S. saw the problem as serious enough to issue an emergency order that relaxed restrictions for drivers carrying fuel in affected states."Colonial Pipeline initiated the restart of pipeline operations today at approximately 5 p.m. ET," the company said in a statement on its website. "Following this restart, it will take several days for the product delivery supply chain to return to normal." Jennifer Granholm, the U.S. energy secretary, tweeted that she had spoken to Colonial's CEO about the restart. The company hired Mandiant, an Alexandria, Virginia, cybersecurity firm, to deal with the incident.

Spot gas shortages could worsen if Colonial Pipeline doesn’t reopen by the weekend --If the Colonial Pipeline is not back in business by the weekend, prices could continue to rise at the pump and there will be broader localized fuel shortages across the southeast and mid-Atlantic regions. Gasoline stations that could not get enough fuel were already closed in some states, and prices jumped overnight, by as much as 10 cents or more per gallon in some areas. "This turns into a crisis by the end of the week, if it's not resolved, particularly with Memorial Day coming," . "People are going to start topping off their tanks." It's not that there's not enough fuel. There's plenty in the refining centers on the Gulf Coast. The issue is that gasoline, jet fuel and diesel are stuck in the wrong places. Moving it requires a hodgepodge of solutions, and analysts say it will be impossible to meet demand without the pipeline. Colonial Pipeline stopped operations Friday and notified federal officials that it was the victim of a ransomware attack. The attack, carried out by a criminal cyber crime group known as DarkSide, resulted in the shutdown of 5,500 miles of pipeline. The artery supplies half of the gasoline to the east coast and runs from Texas to New Jersey. The pipeline company said it expects to restore a substantial amount of operations by the end of the week, but how much is not clear. U.S. Energy Secretary Jennifer Granholm said federal agencies are working around-the-clock to help the pipeline return to normal operations. The shutdown arrives at an inopportune time: The beginning of what could be a record summer driving season as Americans make up for last year. "Given the size and the direction of the pipeline and the market that it feeds, the Colonial Pipeline is the single most important artery moving refined products in the country," "This is already an earthquake and the magnitude of the earthquake just grows by the day."

Colonial Pipeline paid $5 million ransom to hackers -- Colonial Pipeline paid a ransom to hackers after the company fell victim to a sweeping cyberattack, one source familiar with the situation confirmed to CNBC. A U.S. official, who spoke on the condition of anonymity, confirmed to NBC News that Colonial paid nearly $5 million as a ransom to the cybercriminals. It was not immediately clear when the transaction took place. Colonial Pipeline did not immediately respond to CNBC's request for comment. The ransom payment was first reported by Bloomberg. Earlier on Thursday, President Joe Biden declined to comment when asked if Colonial Pipeline paid the ransom. White House press secretary Jen Pskai told reporters during a briefing that it remains the position of the federal government to not pay ransoms as it may incentivize cybercriminals to launch more attacks. Last week's assault, carried out by a criminal cybergroup known as DarkSide, forced the company to shut down approximately 5,500 miles of pipeline, leading to a disruption of nearly half of the East Coast fuel supply and causing gasoline shortages in the Southeast. Ransomware attacks involve malware that encrypts files on a device or network that results in the system becoming inoperable. Criminals behind these types of cyberattacks typically demand a ransom in exchange for the release of data. On Monday, White House national security officials described the assault as financially motivated in nature but would not say if Colonial Pipeline agreed to pay the ransom. "Typically that's a private sector decision," Anne Neuberger, deputy national security advisor for cyber and emerging technologies, told reporters at the White House when asked about the ransom payment. Deputy National Security Advisor for Cyber & Emerging Technologies Anne Neuberg speaks about the Colonial Pipeline outage following a cyber attack during the daily press briefing at the White House in "We recognize that victims of cyberattacks often face a very difficult situation and they have to just balance often the cost-benefit when they have no choice with regards to paying a ransom. Colonial is a private company and we'll defer information regarding their decision on paying a ransom to them," Neuberger said. She added that the FBI has previously warned victims of ransomware attacks that paying a ransom could encourage further malicious activity.

Colonial Pipeline restarts after hack, but supply chain won't return to normal for a few days --Colonial Pipeline restarted operations Wednesday at approximately 5 p.m. ET after a ransomware attack last week forced the entire system offline on Friday evening. The company did warn, however, that its pipeline would not be fully functional immediately. "Following this restart it will take several days for the product delivery supply chain to return to normal," Colonial said in a statement. "Some markets served by Colonial Pipeline may experience, or continue to experience, intermittent service interruptions during the start-up period. Colonial will move as much gasoline, diesel, and jet fuel as is safely possible and will continue to do so until markets return to normal," the company added. Most of the pipeline, which is the largest fuel transmission line from the Gulf Coast to the Northeast, has been offline since Friday. The company shut down its systems as a proactive measure after it fell victim to a ransomware attack by a criminal group known as DarkSide. The pipeline is a critical part of U.S. petroleum infrastructure, transporting around 2.5 million barrels per day of gasoline, diesel fuel, heating oil and jet fuel. The pipeline stretches 5,500 miles and carries nearly half of the East Coast's fuel supply. The system also provides jet fuel for airports, including in Atlanta and Baltimore. Given the importance of the pipeline, there was swift action from Washington, in what officials called a "comprehensive federal response." The Department of Energy led the federal government response in coordination with the FBI, Department of Homeland Security and Department of Defense. Energy Secretary Jennifer Granholm previously said that the company would make a restart decision by the end of the day on Wednesday. "So far there is no evidence from our intelligence people that Russia is involved although there is evidence that the actor's ransomware is in Russia. They have some responsibility to deal with this," Biden said from the White House on Monday. Officials warned that gas supplies remained at reasonable levels, but panicked consumers headed to the pump as the pipeline shutdown stretched on for days. As of Wednesday afternoon 68% of gas stations in North Carolina were out of gas, according to data from GasBuddy. In South Carolina and Georgia 45% of stations were dry, while 49% of stations across Virginia reported outages.

John Kerry Believes Pipelines Are More Efficient, Contradicting the Biden Admin -- John Kerry, the U.S. Special Presidential Envoy for Climate, contradicted the Biden administration Wednesday by admitting pipelines are a more efficient way of transporting fuel than train or truck after the administration has revoked pipeline permits, including Keystone XL.During an appearance in front of the House Foreign Affairs Committee on Thursday, Kerry said pipelines are better than the alternates. This is after President Joe Biden canceled the permits for the  Keystone XL pipeline earlier this year.Republican Rep. Darrell Issa (CA) posed the question, Kerry, “Isn’t it true the pipelines are more carbon-delivery efficient than trains or trucks or other forms of delivery if you could answer just that limited question.”“Yeah, that is true,” he immediately responded.Kerry continued, “I think that is true, but it doesn’t mean necessarily want to be adding another line when there are other alternatives.” “But is it better than train, is it better than that, yes, it is,” he added.

Goodrich Ramping Haynesville Natural Gas Production on High Prices, Productive Wells - Goodrich Petroleum Corp. plans to ramp up natural gas production in the resurgent Haynesville Shale this year, citing strong commodity pricing and high productivity from recently completed wells in northwestern Louisiana. “The core of the Haynesville continues to offer low development and lifting costs, top-tier cash margins and returns on invested capital, as well as the ability for us to both grow and deliver free cash flow at current commodity prices,” CEO Gil Goodrich said Thursday during an earnings call to discuss first quarter results. He added that “numerous new well additions late in the first quarter and subsequent to the end of the quarter have us very well-positioned to deliver strong results in the second quarter.” The company expects production to average 150,000-160,000 Mcfe/d during the second quarter, and is maintaining full-year guidance of 160,000 Mcfe/d at the midpoint, up 20% year/year. Guidance was revised downward slightly due to the impacts of Winter Storm Uri in February and curtailment of nonoperated volumes. The company expects to fetch a 15-25 cent premium to Henry Hub prices for its production. Management is forecasting $15-30 million of free cash flow for the year, assuming natural gas prices of $2.50-3.00/Mcf. If current strip pricing is an indicator, “we’re obviously going to be at the high range of that free cash flow guidance range, and then we’re doing our best to control our operating cost,” said COO Rob Turnham. Production averaged about 125,000 Mcfe/d for the first quarter, of which 98% was natural gas. This compares to 137,000 Mcfe/d, also 98% natural gas, in the year-ago period. Oil and natural gas revenues totaled $31.9 million, up from $23 million in 1Q2020. Goodrich reported average realized natural gas prices of $2.72/Mcf and $57.88/bbl for oil, up from $1.73/Mcf and $47.64/bbl a year ago.

3 arrested in Bayou Bridge protest can challenge trespass law -- Monday, May 10, 2021 -- Protesters from New Orleans and Mississippi and a journalist from New York arrested during a protest against pipeline construction may continue their challenge of a Louisiana law carrying a possible five-year prison sentence for anyone convicted of trespassing in the area of a pipeline, a federal judge has ruled.

Oil from abandoned Louisiana wells would be exempt from tax under House-passed bill  The Louisiana House of Representatives has unanimously passed a bill to exempt oil production from abandoned wells from severance tax Tuesday. Rep. Jean-Paul Coussan, R-Lafayette described House Bill 662 as a win-win for the industry and the environment, but environment advocate Cynthia Sarthou, executive director of Healthy Gulf, called it a “real gift to the oil industry.”The Department of Natural Resources has designated more than 4,000 oil wells in the state as orphaned or abandoned. Wells typically become abandoned when a small oil company buys a previously drilled well and goes bankrupt without properly plugging and abandoning it. When this happens, the liability falls to the state, which uses revenue from a fee on oil and gas production to pay for the cleanup. But the program lacks adequate funding, according to a 2014 legislative auditor's report.Coussan’s bill would incentivize new oil producers to take over the liability of the well by eliminating the severance tax on oil production, which is typically 12.5%. The tax exemption would last for two years or until production of the well surpasses the cost of operation, whichever comes first.

Enbridge Sees 'Renewed Interest' in US Gulf Crude, LNG Exports as Pandemic Fears Fade --Canadian pipeline giant Enbridge Inc. said Friday it was seeing an uptick in interest for crude and liquefied natural gas (LNG) exports from the U.S. Gulf Coast amid an anticipated global economic recovery from the Covid-19 pandemic.  “Our solid regional footprint and premier North American integrated pipeline networks are ideally positioned to capitalize on these opportunities and we continue to advance several export pipeline and crude oil terminal opportunities,” President Al Monaco said in the Calgary firm’s first quarter earnings report.   Enbridge is developing the Cameron Extension Project to transport feed gas to Venture Global LNG Inc.’s under-construction Calcasieu Pass LNGterminal in Louisiana. It also plans to build a feed gas pipeline to the NextDecade Inc.’s proposed Rio Grande export site in South Texas.  On the oil side, the company has partnered with Enterprise Products Partners LP to build a deepwater crude oil export terminal off the Texas coast.Enbridge also shared the latest developments on its closely watched Line 5 project. Designs are complete and a construction contractor is being recruited for the disputed plan to save the 540,000 b/d Line 5 with a new $500 million tunnel under the Straits of Mackinac, Monaco said.  Ebridge’s natural gas business segment reported volumes of 671 Bcf on its systems in the first quarter, compared to 638 Bcf in the same period one year ago. On the oil side, the company reported volumes of 2.75 million bbl on its Mainline system compared to 2.84 million bbl in 4Q2020. It also reported first quarter volumes of 1.95 million bbl on its Regional Oil Sands System compared to 1.87 million bbl in the same period one year ago.

Governor Edwards and Senator Cassidy request end on oil and gas lease ban -— As the moratorium on offshore oil and gas leases lingers, Governor John Bel Edwards is calling on President Biden to lift the ban by summer. Governor Edwards wants the Biden administration to know a prolonged drilling halt would be devastating to Louisiana’s economy. Edwards testified before the U.S. Senate Committee on Energy and Natural Resourses. He’s calling on Biden to take a balanced approach to climate change and oil and gas exploration. On Capitol Hill, Edwards joined forces with republican U.S. Senator Bill Cassidy. Both are concerned about the President’s pause on oil and gas leases. “Federal oil and gas production must continue in the Gulf and well into the future,” Edwards said. Cassidy said, “Solutions are needed which move us in the right direction.” In February, President Biden signed an executive order stopping new permits on federal lands and federal waters. He wants to reach net-zero greenhouse gas emissions by 2050. Governor Edwards said, “We are committed to addressing climate change responsibly and to an orderly energy transition. Environmentally responsible oil and gas production must be allowed to continue on the outer continental shelf in the Gulf of Mexico.” According to Edwards, revenue from offshore drilling helps fund climate change goals. “The goal of net-zero carbon emissions by 2050 is an ambitious goal, but it is what the global scientific community says is necessary if we want to avoid the most severe impacts from climate change,” said Edwards. Senator Cassidy said, “The current posture of the Biden administration threatens our longterm ability to fund these projects while putting tens of thousands of jobs at risk.”

Winter storm crisis: Texas natural gas industry opposes new oversight --Advocates for the Texas natural gas industry have spent much of the 11 weeks since February’s deadly power blackouts downplaying the sector’s culpability in the crisis and working to stop lawmakers from requiring winterization of far-flung wells and pipelines. But new data suggest failures by natural gas producers and suppliers to keep the commodity flowing might have triggered as much as a fifth of the freeze-related power outages near the peak of the calamity. What's not up for debate is that statewide production of natural gas — a major source of fuel for electricity generation — slumped dramatically amid the historic winter freeze and prices for it soared. Production fell by nearly half at one point during the emergency, compared with levels earlier in February, according to IHS Markit, a company that aggregates information about the energy sector. Natural gas spot prices climbed from an average of about $2.80 per million British thermal units at the main West Texas trading hub to a high of $206.19 — a 73-fold increase.  At least 151 people, including 12 in Travis County and three in Williamson County, died statewide for reasons related to the frigid temperatures and others lost limbs to frostbite, as many power plants faltered just when needed most. Property damage from the power outages has been estimated at over $200 billion, while water service to more than 12 million people across the state also was disrupted because pipes froze and burst.  Proponents of the state's natural gas industry — in addition to its regulator, the Texas Railroad Commission — have largely deflected blame for the overall crisis, saying freeze-related outages at power plants exacerbated issues at natural gas production and supply facilities because they rely heavily on electricity to operate and to resolve their own weather-induced problems.

TEXAS: Gas lobbying raises fears of another blackout crisis -- Wednesday, May 12, 2021 -- Texas' powerful fossil fuel industry is lobbying to exempt parts of the natural gas system from legislation aimed at preventing a repeat of blackouts that left millions of people in the cold and dark in February.

Apache Nabs $4-Plus for Permian Natural Gas, Boosted by Prescient Hedging Strategy -  -- After fetching $4.61/Mcf for its Permian Basin natural gas in the first quarter, APA Corp. is stepping up its activity in some prospects and extending its exploration in Texas, executives said Thursday.The gassy Alpine High development in the Permian Delaware sub-basin of West Texas had been the Houston-based explorer’s No. 1 global play. As gas prices stagnated and oil prices strengthened, more capital was moved to Egypt, the North Sea and offshore Suriname. Still, with prices on the rise early this year, CEO John Christmann IV had said in February the Alpine High and other U.S. prospects were likely to see more love in 2021.  “We made excellent progress during the first quarter with regard to our top priority of free cash flow generation and net debt reduction,” Christmann said during the quarterly conference call Thursday.“We performed well relative to our production expectations,” with “good capital and cost discipline,” even with the “challenging weather events” during February’s deep freeze.The challenging weather, however, proved a boon for Apache, which in March became an APA subsidiary. What happened was fortuitous, as the marketing team revamped the gas hedging strategy at the end of January, which led to a $147 million gain. APA’s exposure to the gas spot market was increased, as marketing entered into financial contracts that boosted exposure for the month of February to daily gas pricing, while reducing exposure to first-of-month pricing. Spot electricity and gas prices in Texas then hit record highs in February on the extreme weather.CFO Stephen Riney during the conference call explained that all of the Permian gas production is sold “and then we manage our long-haul transport obligations separately. We optimize those obligations through the purchase, transport and sale of gas from various receipt points in the Permian Basin and in the Gulf Coast areas. “Our common practice, as we contract for the purchase and sale of gas, is to maintain a relatively balanced exposure between gas daily and first-of-month pricing. As the end of January approached, we had a portfolio of purchase-and-sales contracts that were heavily skewed to February first-of-month pricing. As we commonly do, when this is the case, we use financial contracts to rebalance that exposure closer to 50-50.”

 Oil cuts likely to remain for years --Even though oil companies are recovering from their worst downturn in decades, they are unlikely to restore exploration and production budgets to pre-pandemic levels for years, according to a new report.Oil producers are expected to spend about $390 billion on exploration and production activities this year, a slight increase from the $382 billion in spending last year, according to Rystad. The Norwegian energy research firm forecasts upstream investment will rise gradually to just over $480 billion by 2025, less than the pre-pandemic level of $530 billion.The tightening of company purse strings will have widespread implications for Houston’s economy and the more than 60,000 oil exploration and production workers in Texas who were laid off during the downturn. Lower capital spending will mean fewer jobs in the oil patch.“Rystad Energy expects the effect of the pandemic to be a lasting one. Even though spending will start growing from 2022, it will not return to the pre-pandemic level of $530 billion,” Rystad said in a report released Wednesday. “Growth will be limited and investments will only inch up annually.”Crude prices, which plummeted last year, have recovered quickly in recent months. Oil rose 1 percent Wednesday to settle at $66.08 a barrel, lifted in part by report by the International Energy Agency. The IEA found that supply glut that has plagued the industry for more than a year, has come to an end.Still, Rystad said, it’s unlikely spending on new wells will recover to pre-pandemic levels. Oil companies are keeping their focus on paying down debt and boosting shareholder returns to woo investors back to the energy sector. Energy was the worst-performing sector of the U.S. stock market in 2020 after years of lackluster performance.When crude prices crashed as the pandemic broke out last spring, oil companies swiftly slashed $285 billion collectively from their exploration and production budgets, representing more than half of their spending in 2019, according to Rystad. U.S. shale companies made the deepest spending cuts, shedding $96 billion from their exploration and production budgets, Rystad said. “Since shale oil is both the segment with the highest decline in activity,” said Espen Erlingsen, Rystad’s head of upstream research, “and the supply source in greatest need of continuous reinvestment to keep production growing, the immediate impact (of spending cuts) on output from this sector has been significant.”

Rare Plants Under Review In Oil And Gas Fight - The U.S. Fish and Wildlife Service will take a closer look at two rare plants found only in northwestern New Mexico to see if they warrant protection under the federal Endangered Species Act as environmentalists push to stop oil and gas development in the region.The agency's decision to review the Aztec gilia and Clover's cactus came Tuesday, after being petitioned by environmentalists nearly a year ago. Environmentalists point to the fishhook-spined cactus and the flowering herb as more reasons development should be limited in the San Juan Basin. They say federal land managers aren't doing enough to preserve the plants."The Bureau of Land Management has been rubber stamping fracking in this region for decades, running roughshod over the greater Chaco landscape and communities," Rebecca Sobel with the group WildEarth Guardians said in a statement. "If unfettered fracking is not reined in, the health of the landscape and these endemic species remains in grave peril."The fight over drilling in the San Juan Basin has spanned multiple presidential administrations and both sides of the political aisle. Environmental groups began by raising concerns about the potential for increased pollution across the region and some Native American tribes joined the fight, calling for a permanent moratorium that would prohibit development in more areas beyond the boundaries of Chaco Culture National Historical Park.Legislation that would establish a buffer on federal land surrounding the park is pending in Congress. Groups also have been pressuring Interior Secretary Deb Haaland, a former New Mexico congresswoman and the first Native American to head a cabinet department, to take executive action. In their petitions, environmentalists cited public records that show disagreement within the Bureau of Land Management and failures by oil and gas companies to comply with conditions of their permits when it came to dealing with the plants. They also cited poor record-keeping related to efforts to transplant Clover's cactus and their survival rates. The cactus is found only in Rio Arriba, Sandoval and San Juan counties in grasslands and among desert shrubs. The petition states that the effects of oil and gas development are mostly associated with the creation of well pads and the networks of pipelines and roads that connect them.Other threats include horse and cattle grazing, illegal harvesting, seed collection, off-road vehicle use and climate change. Predation by rabbits, moths and beetles also have contributed to the plants' demise.

As Line 5 debate continues, residents weigh risks to shorelines, economies - — In six days, oil escaping from under the Straits of Mackinac could reach Rogers City. There, it could hurt wildlife, sicken residents, and coat beaches with slime, according to experts studying the possible effect of an oil spill from Line 5, Enbridge Inc.’s 68-year-old pipeline carrying crude oil across the bottom of the Straits. Such a spill presents relatively low risk of devastating environmental impact in Alpena and Thunder Bay, according to studies. Neighbors to the northwest, in Presque Isle County, face a more realistic possibility of long-term hurt if oil escaped the pipeline. Though insisting the pipeline is safe, Enbridge plans to relocate Line 5 into a concrete tunnel 100 feet below the lakebed through the Straits as part of a plan worked out with previous Gov. Rick Snyder. Lawsuits by the Michigan Legislature and the Michigan Attorney General dispute Enbridge’s right to run oil through those waters. Current Gov. Gretchen Whitmer in November ordered Enbridge to stop transporting oil through the Straits and gave the company six months to comply. Enbridge’s deadline is Wednesday. Environmental groups claim the pipeline’s location and age put lakes Michigan and Huron, which connect at the Straits, and coastline communities at risk of a disastrous oil spill, endangering the environment, local and state economies, and human health. Enbridge maintains that shutting down the line would remove a vital fuel supply to Michiganders and hurt the state’s economy. Both arguments are true, said David Schwab, a researcher who conducted hundreds of tests to determine possible outcomes of an oil spill from the pipeline. Schwab, a Great Lakes oceanographer employed by the University of Michigan Water Center, with expertise in the currents through the Straits, created computer simulations of 860 scenarios of potential weather and lake conditions at the moment of an oil spill from Line 5. Currents almost as strong as those in the Detroit River can run either direction through the Straits and change from day to day, according to Schwab. Given the unpredictability of currents and the wide variety of weather systems in northern Michigan, the Straits present the worst point in the Great Lakes for an oil spill, Schwab said. If 25,000 gallons leaked from the pipeline, Schwab’s tests showed about a 5% chance enough oil would make it to Thunder Bay to noticeably impact residents or the environment. The spilled oil would arrive about 10 days after the spill.

Michigan tribes plan peaceful gatherings for Enbridge ‘eviction day,’ LaDuke to speak  --Tribal citizens and environmental groups in Michigan are preparing for “Enbridge eviction” celebrations this week in honor of Gov. Gretchen Whitmer’s Wednesday deadline for the Canadian oil company to shut down its controversial Line 5 pipeline. At the same time, Enbridge allies are gearing up for the deadline by arguing the 68-year-old pipeline has a positive economic impact. The nonprofit Consumers Energy Alliance — a front group for the energy industry that pushes pro-oil and gas messaging in the United States, according to SourceWatch — released a report Monday arguing that a Line 5 shutdown would devastate energy supplies of surrounding states. The two days of planned events near the Mackinac Straits on Wednesday and Thursday are being organized by Indigenous water protection group MackinawOde, Great Lakes Water Protector Group and the Oil & Water Don’t Mix coalition. Nathan Wright, a citizen of the Sault Ste. Marie Tribe of Chippewa Indians and a core member of MackinawOde, says the two days are meant to honor Indigenous peoples’ connection with the water while continuing to protest Enbridge’s presence in the Straits. In November, Whitmer set a deadline of May 12 for Enbridge to cease operation of the pipeline while ordering the company’s 1953 easement with the state to be revoked and terminated. Michigan and Enbridge are currently entangled in several court disputes regarding the shutdown order, and a final ruling is unlikely to happen before Wednesday. Although the order will still take effect Wednesday, a court order will be needed to enforce the shutdown as Enbridge has said it will not comply voluntarily. Winona LaDuke is slated for the keynote speaker role. She is the director of Indigenous environmental group Honor the Earth, a vocal activist against oil pipelines, including Enbridge’s Line 3 in Minnesota, and a former Green Party vice presidential candidate.

On eve of Line 5 shutdown deadline, Enbridge vows to defy Michigan order --Enbridge Energy technically has one more day to shut down the Line 5 pipeline in the Straits of Mackinac, but even the pipeline’s most vocal opponents acknowledge slim odds that the oil actually stops flowing right away. In the six months since Governor Gretchen Whitmer gave Enbridge 180 days to stop transporting petroleum across the tempestuous waterway that links Lakes Michigan and Huron, and the four months since Enbridge vowed to defy her, state officials have been adamant that the order still stands. But as for what Michigan can or will do if Enbridge keeps the oil flowing beyond midnight on Wednesday? That’s unclear. Spokespeople for the governor declined to answer questions about their plans, but supplied a written statement noting that Whitmer “stands behind her decision” to cancel the easement that first gave Enbridge’s predecessor permission to build a pipeline along the sandy bottom of the straits 68 years ago. “We cannot risk the devastating economic, environmental, and public health impacts of a catastrophic oil spill in the Great Lakes,” the statement reads. Michigan Attorney General Dana Nessel, who is locked in legal battle with Enbridge over the shutdown order, said her office expects to pursue “punitive measures'' if Enbridge defies the order. But first, the state and Enbridge must settle a dispute about whether the case will be heard in state or federal court. Enbridge officials admit that the idea of constructing a pipeline in the open waters of the Straits would not fly today. But company officials also insist that the current pipeline is safe: constructed of material thicker than most pipelines and watched closely for any sign of malfunction. And, Enbridge contends, pipeline regulation is a task for the federal Pipeline and Hazardous Materials Safety Administration, not the state of Michigan. “We will not stop operating the pipeline unless we’re ordered by a court or our regulator, which we think is highly unlikely,”

Enbridge Pipeline Day of Reckoning? Indigenous Rights Groups Join Michigan Gov. Whitmer in Demanding Shutdown --Indigenous rights and climate action groups are set to hold an "Evict Enbridge" celebration on Wednesday and Thursday to mark Michigan Gov. Gretchen Whitmer's deadline for Canadian oil and gas company Enbridge to shut down its Line 5 pipeline.Ahead of Wednesday's deadline, which Whitmer set last November, the Democratic governor called Enbridge's continued use of the Straits of Mackinac — under which Line 5 has carried more than half of Ontario's oil supply since 1953 — a "ticking time bomb.""Their continued presence violates the public trust and poses a grave threat to Michigan's environment and economy," Whitmer said in a statement this week.Whitmer, who campaigned on shutting down Line 5, announced last November that she was revoking an easement granted by the state of Michigan nearly 70 years ago, saying Enbridge has violated safety requirements.Although no oil or gas leaks from Line 5 — which carries 540,000 barrels of oil per day — have been reported, the pipeline has been struck by boat anchors and other equipment in recent years. Last year, the line was shut down temporarily after an anchor support sustained damage.Whitmer said last year that Enbridge violated a rule prohibiting unsupported gaps beneath the pipeline, and another pipeline run by the company spilled more than 845,000 gallons of oil in 2010, affecting the Kalamazoo River.According to a 2017 National Wildlife Federation report, more than two dozen spills from other sections of Enbridge's pipelines exceeded one million gallons.A 2018 poll of Michigan residents found that 54% of the state wants Line 5 shut down and 87% are concerned about the pipeline spilling into the Straits of Mackinac.At the Evict Enbridge event in Mackinaw City this week, environmental justice advocate Winona LaDuke will be among the speakers. "Will Enbridge shut [Line 5] down or will the public do it for them?" said Honor the Earth, LaDuke's organization, on social media Monday. Enbridge has "imposed on the people of Michigan an unacceptable risk of a catastrophic oil spill in the Great Lakes that could devastate our economy and way of life," Whitmer said when announcing the easement, which was granted despite the fact that the federal government generally regulates oil pipelines.Michigan Attorney General Dana Nessel denounced the company and the Canadian government for putting the state "in a position where Canada stands to gain nearly all the benefit and the state of Michigan bears all the risks."

Canada warns Michigan oil line shutdown could undermine U.S. ties (Reuters) -A day before Michigan's deadline to close down a key crude oil pipeline, Canada on Tuesday issued its strongest remarks so far about the move, warning that it could undermine relations with the United States, its closest ally and trading partner. Canadian company Enbridge Inc is preparing for a legal battle with Michigan and courting protests from environmental groups, betting it can ignore the state's Wednesday deadline to shut down Line 5, which runs under the Straits of Mackinac. The Canadian government, intervening in the case to back Enbridge, said in a U.S. federal court filing that Michigan had no right to act unilaterally since a 1977 Canada-U.S. pipeline treaty guarantees the free flow of oil between the two nations. "This case raises concerns regarding the efficacy of the historic framework upon which the U.S.-Canada relationship has been successfully managed for generations," Ottawa said. Michigan's move "threatens to undermine important aspects of that cooperative international relationship", it added. The brief said Canada would suffer "massive and potentially permanent disruption" from a shutdown. Line 5 brings 540,000 barrels-per-day of oil from western Canada to Ontario, Quebec, Michigan, Ohio and Indiana. Canada has been lobbying https://www.reuters.com/business/energy/frustrated-canada-presses-white-house-keep-great-lakes-oil-pipeline-open-2021-04-26 Washington officials to keep the pipeline open in what is likely to be an election year in Canada. The White House has so far kept quiet. "We don't weigh in on that ... it will be decided in court," U.S. Secretary of Energy Jennifer Granholm told reporters on Tuesday when asked about the White House's position on Line 5. The government of Alberta, Canada's main crude-producing province, welcomed the federal government's intervention. Energy Minister Sonya Savage said Michigan's attempt to shut down an operating pipeline set a dangerous precedent for future oil and gas projects.

Whitmer threatens Enbridge as workers protest Line 5 closure deadline — While the state's Democratic attorney general is saying she can't close Line 5 without a court order, Michigan's Democratic governor is insisting Enbridge will be considered a trespasser if it continues to operate the oil pipeline in the Straits of Mackinac after Wednesday. Gov. Gretchen Whitmer warned an Enbridge executive Tuesday that if the Canadian company continued to operate in the Straits past Wednesday, the state would seek its profits if it eventually prevails in its legal fight to revoke the pipeline's easement. Continued operations would be considered "an intentional trespass," she said. The company, Whitmer said, "will be liable for unjust enrichment, which will require disgorgement to the state of all profits derived from its wrongful use of the state's property." "The state intends to assert claims for trespass and unjust enrichment against Enbridge at the appropriate time when the pending motion for remand in the state’s lawsuit has been decided," Whitmer wrote in the letter to Vern Yu, Enbridge's executive vice president. The National Wildlife Federation on Tuesday applauded Whitmer's ultimatum, noting Enbridge could be forced potentially to give up 100% of its daily Line 5 profits — an amount the group estimated to be about $1.4 million a day. Enbridge said in a Tuesday statement it is confident the state and the company would eventually reach a resolution. "A shutdown of Line 5 has serious, broad ramifications and raises substantial federal and international questions relating to interstate and international commerce," Enbridge spokesman Ryan Duffy said. "That is why the case is in federal court where the judge has ordered mediation." Whitmer's letter came a day after Attorney General Dana Nessel's office told The Detroit News that she had no way to enforce the easement revocation and closure order without court intervention. "The jurisdictional issue will not be decided until sometime after May 12," Nessel spokeswoman Lynsey Mukomel said. "We need a court order that requires Enbridge to shut down in compliance with the notice. We will continue to work to get that as soon as possible."

"Water is life" is the theme of Day 1 of protests to shut down Enbridge Line 5 -On Thursday, environmental groups and Native Americans plan to present Enbridge Energy with symbolic eviction notices. They want Enbridge to abide by Governor Gretchen Whitmer’s order to shut down Line 5 in the Straits of Mackinac. In November 2020,  Governor Whitmer revoked the easement for Enbridge Energy’s Line 5 twin pipelines through the Straits of Mackinac, and gave the company 180 days to shut down that section of the pipelines, which carry light crude oil and natural gas liquids. That deadline was Wednesday at midnight, and Enbridge says it has no intention of shutting the line down. On Tuesday, Governor Whitmer pledged to try and seize any profits the company makes from the pipeline after that deadline, claiming trespass on state property.. In the background, the question of whether Whitmer’s November revocation notice was legal is playing out in the courts. Michigan Attorney General Dana Nessel sued in circuit court to enforce the order, and Enbridge counter-sued in federal court. The two sides are now in court-ordered mediation over whether the legal dispute over the easement will be heard in state or federal court. Wednesday was the first day of Line 5 protests in Mackinaw City. There's a two-lane road separating Enbridge Energy’s big Line 5 pumping station from a little park where a lot of tribal members from all over the upper Midwest gathered. There were also some non-indigenous activists from the Lower Peninsula of Michigan with them to keep public pressure on the Canadian pipeline company. There was a lot of music, some ceremonies, and many people taking turns with the microphone, reminding each other how precious the Great Lakes – and particularly the Straits of Mackinac – are to the tribes.

Enbridge continues Line 5 Straits pipeline operation, defies Whitmer - In defiance of an order by Gov. Gretchen Whitmer to cease operations by Wednesday, Canadian oil transport giant Enbridge continued to flow 23 million gallons of crude oil and natural gas liquids through Line 5, its controversial, 68-year-old twin pipelines on the Straits of Mackinac lake bottom. Whitmer on Tuesday, in a letter to Vern Yu, Enbridge’s executive vice president for liquids pipelines, said continued operation of the line after Wednesday “constitutes an intentional trespass” and that the company would do so “at its own risk.”“If the state prevails in the underlying litigation, Enbridge will face the prospect of having to disgorge to the state all profits it derives from its wrongful use of the easement lands following that date,” she said. Whitmer in November moved to revoke Enbridge's 1953 easement to situate the pipelines on state-controlled bottomlands near where Great Lakes Michigan and Huron connect, citing repeated violations of the easement's terms on pipeline safety measures and an unreasonable risk to the Great Lakes from the aging pipes' continued operation. The governor gave Enbridge 180 days to arrange for shutdown of the pipes, a deadline that ends Wednesday.  Hardhats cover a portion of the Capitol lawn in protest of a Line 5 closure on Tuesday, May 11, 2021, in Lansing. The hats represented jobs that would be lost. (Photo: Nick King/Lansing State Journal)But Enbridge is continuing to operate Line 5, saying Whitmer's order amounts to attempting to regulate interstate pipeline safety, which the company believes is the sole jurisdiction of the federal government.As of Wednesday, Enbridge's continued operation of Line 5 in the Straits is "unlawful," Whitmer Press Secretary Bobby Leddy said.The battle over Line 5 is playing out in both state and federal courts, and in the court of public opinion. Enbridge, with allies including many Republicans in the state Legislature, business and industry groups and labor unions for refinery workers, says a Line 5 shutdown would devastate Michigan's and the region's energy supply and economy — and the company has spread that message far and wide across television, the web and print in an expensive media blitz.

Michigan, Ohio, Wisconsin business leaders urge court to keep Line 5 operating -- The Canadian and U.S. chambers of commerce joined forces with their counterparts in Ohio, Michigan and Wisconsin by filing a joint brief in court to argue against Gov. Gretchen Whitmer’s bid to shut down the cross-border pipeline. Wednesday marked Whitmer’s original deadline for Enbridge to shut down Line 5, which she maintains poses an unacceptable environmental risk along the bottom of the Straits of Mackinac, which connect Lake Huron with Lake Michigan. “The tunnel solution essentially eliminates the risk of an oil spill at the Straits of Mackinac,” the chambers argue in their filing, known in legal parlance as an amicus brief. The existing tunnel agreement with Michigan gives Enbridge the right to cancel the project entirely if the pipeline is forced to cease operations, even temporarily, they argue. “Under the termination clause of two agreements… if defendants comply with the state of Michigan order and involuntarily shut down the pipeline, then defendants can choose to terminate their obligations to construct such a tunnel.” The brief anticipates a scenario in which Enbridge is forced to temporarily shut down the line, cancels the tunnel project and then later receives a ruling that allows the line to start back up. “The chambers urge the parties not to create avoidable short-term crises or put at risk the long-term solution (the tunnel) that they agree is superior to the status quo.” Enbridge said it would need to re-evaluate things should Line 5 be shut down. 

Ohio Legislature keeps pressure on Michigan to keep pipeline open – Ohio lawmakers continue to pressure Michigan’s governor to keep open a pipeline that affects more than 20,000 Ohio jobs and nearly $14 billion in state economic activity. Rep. Brian Baldridge, R-Winchester, who testified before the Ohio Senate Energy and Natural Resources Committee earlier this week, said Michigan Gov. Gretchen Whitmer continues to make poor decisions at a time when energy security remains in question after a cyberattack on Colonial Pipeline that continues to leave the Southeast with gasoline shortages and higher prices. Baldridge also testified recently before Michigan’s Senate Energy Committee and met with the state’s Senate leadership in response to Ohio Resolution 13, which urges Michigan to keep the Enbridge Line 5 pipeline operating. The Line 5 pipeline services two Oregon refineries in northwest Ohio. According to Ohio officials, closing the line would cause a significant disruption in the supply chain, which serves as a source of jet fuel for several regional and international airports, particularly in Cleveland and Detroit.  “Governor Whitmer continues to escalate her poor policy decision making at a time when the wide-ranging impact of energy insecurity in this country is at the front of our minds,” Baldridge said. “The cyberattack on the Colonial Pipeline is deeply felt throughout our Southeast region and the Michigan governor underestimates the scope of her decision. Ohio workers and consumers should not be relegated to political casualties.”

Line 5 critics challenge business advocates on shutdown potential --  Business advocacy groups from around the Great Lakes argued this week that shutting down Line 5 would lead to a crisis in regional oil and gas markets, although pipeline critics say that forecast is overblown.The two sides ramped up advocacy this week as Enbridge Inc. ignored a state deadline on Wednesday to shut down the twin pipelines in the Straits of Mackinac. The company is in a dispute in federal court over the proper legal venue, arguing with the state more broadly about whether the pipeline should be shut down.State officials notified Enbridge six months ago that the company was allegedly in violation of its easement and the public trust by operating in the Straits of Mackinac. Officials gave Enbridge six months to develop alternative plans for shipping oil and gas liquids from Superior, Wis. to refineries in Ontario, Detroit and Toledo. The May 12 deadline set off a flurry of advocacy as well as legal, executive and legislative action this week.Chambers of commerce from Great Lakes states, the U.S. and Canada on Wednesday announced a joint brief they filed in the Whitmer administration’s case against Enbridge that’s pending in the U.S. District Court for the Western District of Michigan.Valerie Brader, an attorney and co-owner of Rivenoak Law Group P.C., filed the brief on behalf of the business groups arguing that closing Line 5 would cause major disruptions in the region’s energy market by tightening supplies and eventually cost thousands of jobs at U.S. and Canadian refineries. The business groups support Enbridge’s position that its case against the state belongs in federal court, and that it would disrupt U.S.-Canada relations.

Michigan Threatens Enbridge's Profits in Great Lakes Pipeline Dispute —Michigan Gov. Gretchen Whitmer threatened to seize profits from Canadian pipeline company Enbridge Inc. if the company continues to operate a pipeline through the Great Lakes after a Wednesday deadline. In a letter sent to Enbridge on Tuesday, Gov. Whitmer and Daniel Eichinger, director of the state’s natural resources department, reminded the company the state had revoked a permitthat allowed the Line 5 pipeline to run along the bottom of the Straits of Mackinac, between Lake Michigan and Lake Huron. The governor has given the company until May 12 to shut the pipeline.Michigan has said the pipeline poses an environmental risk and that any spill from it would threaten the Great Lakes. Enbridge has said that section of the 68-year-old pipeline has never leaked and that it is taking steps to protect the lakes after negotiating a plan with former Gov. Rick Snyder to encase the pipes in a tunnel below the lake bed.Enbridge has refused the order, arguing in a lawsuit that Michigan doesn’t have the authority to close the line, which transports oil and natural gas liquids from Superior, Wis., to refineries in Michigan, Ohio, Pennsylvania, Ontario and Quebec.“Enbridge’s continued occupation and use of State-owned bottomlands in the absence of a valid and effective easement constitutes an intentional trespass,” said the governor in her letter. She said the state would, if it wins in court, require the company to disgorge “all profits derived from its wrongful use of the State’s property” after the May 12 deadline.

Why Indigenous women are risking arrest to fight Enbridge’s Line 3 pipeline through Minnesota - On Dec. 14, Simone Senogles of the Red Lake Nation in Minnesota watched as machines chewed up the forest to clear a path to the Mississippi River where Enbridge plans to bury the Line 3 pipeline. Weeks earlier, the state and federal government granted its final permits. Her friend's nephew sat 30 feet above in a tree. A cherry picker rolled forward to extract him. Senogles, a leadership team member for the Indigenous Environmental Network who fought the Dakota Access Pipeline at Standing Rock, knew the Line 3 opposition had other strategies in place — court challenges, divestment campaigns — but in that moment she felt "a tremendous sense of responsibility." She said she locked arms with about 20 other water protectors, hoping to slow the cherry picker, but dozens of police wrestled them to the frozen ground and arrested them. Senogles was charged with unlawful assembly and trespassing. She said it felt insulting. "It's Anishinaabe land," she told EHN, referring to a group of Indigenous people whose traditional homeland stretches from the East Coast through the Great Lakes to the Midwest. "Enbridge is the trespasser, they are the criminal, and they were aided by law enforcement who are supposed to be protecting us, but instead they were protecting a corporation."Police from the Northern Lights Task Force, Minnesota police officers funded by Enbridge as a condition of state permits, have arrested 72 Indigenous people and allies since construction began Dec. 1, according to task force press releases. Water protectors have put their bodies on the line, building six resistance camps along the pipeline route, chaining themselves to equipment and camping in trees. Opponents say the threats from the pipeline are many: thousands of construction workers, many from out-of-state, are building the pipeline, posing potential violence to Indigenous women. The pipeline will also contribute to climate change, emitting the equivalent greenhouse gases of 50 coal power plants or 38 million vehicles, according a report by climate action group MN350. In Minnesota, the pipeline would cross under 200 bodies of water, passing through wetlands where wild rice, a traditional Ojibwe food, grows. The pipeline will carry diluted bitumen, a heavy oil that sinks in water, making it harder to clean up.

Biden’s Pipeline Dilemma: How to Build a Clean Energy Future While Shoring Up the Present’s Carbon-Intensive Infrastructure - Even as President Joe Biden worked this week to shore up support for his push to invest $2 trillion in a new energy future for the United States, his administration found itself bombarded with the harsh realities of the nation’s oil-dependent present.More than a half-dozen federal agencies scrambled to contain fallout from a cyber-attack that shut down the Colonial Pipeline, the nation’s largest petroleum products conduit, just as the start of the nation’s peak driving season approaches. Panic buying triggered gasoline shortages and price spikes all along the East Coast before Colonial restarted the line Wednesday. Meanwhile, a legal and international conflict escalated in Michigan over Gov. Gretchen Whitmer’s ordered shutdown of Enbridge’s Line 5, a 68-year-old oil pipeline on the lakebed of the Straits of Mackinac that transports oil from Alberta, Canada’s tar sands. Another Enbridge tar sands pipeline project in Minnesota, Line 3, has become a flash point for environmental and Indigenous groups that want the Biden administration to intervene to stop construction. And a court ruling could come any day opening a new chapter in the six-year battle over the Dakota Access pipeline. Even though President Donald Trump pushed that project to completion, a court-ordered expanded environmental review is now in the hands of the Biden administration.Throughout his campaign, Biden embraced the most ambitious climate platform ever advanced by a U.S. presidential nominee, without taking a stand on oil and gas pipeline investment. The events of the past week make clear that he won’t be able to avoid the issue, even though it threatens to divide his political coalition. Labor stayed with Biden even though he pledged to block the Keystone XL pipeline, a project they supported, but which had become emblematic of climate activists’ drive against fossil fuel expansion. But after fulfilling his Keystone pledge on his first day in office, Biden stayed away from pipelines, focusing instead on a message with appeal to both unions and environmentalists: that a transition to clean energy would be an engine of blue-collar job creation.However, U.S. oil consumption is nearly back to its pre-pandemic level of 20 million barrels per day, most of it flowing at some point through the nation’s more than 190,000 miles of petroleum pipeline. More than half of that network was built before 1970. Even as Biden seeks to build an entirely new energy infrastructure, some of those pipelines are going to wear out or, as in Colonial’s case, face unexpected disruption.  “Regardless of your position on climate change,” said Raimi, “shutting down certain pipelines and doing it without planning can cause a lot of problems.”

OIL AND GAS: Lawsuit: BLM ignored Colo. fracking's climate risk -- Wednesday, May 12, 2021 --  A coalition of conservation groups is bringing the Biden administration to court over a Trump-era development plan allowing hydraulic fracturing on nearly 35,000 acres in Colorado's Western Slope.

 Dakota Access executive says pipeline has faced cyberattacks - The Dakota Access Pipeline has faced cyberattacks like the one against the Colonial Pipeline last week that forced it to shut down and disrupted fuel supplies to the East Coast, Energy Transfer Executive Chairman Kelcy Warren said Wednesday during an appearance at an oil conference in Bismarck. The attacks against Dakota Access failed, but Warren indicated such attempts are a growing threat to the pipeline industry. “I’m worried this is going to be tried a lot more frequently,” he told attendees of the Williston Basin Petroleum Conference at the Bismarck Event Center. The Colonial Pipeline began operating again Wednesday afternoon after it shut down last Friday. It transports nearly half the East Coast's fuel supply. The FBI has identified the hackers responsible for the attack as a group known as DarkSide. “How long before they say, ‘Wow, we get people’s attention when we do this. Let’s do some more,’” Warren said. Another big name to speak at the conference, Harold Hamm, founder of Continental Resources, called what happened to the Colonial Pipeline a “terrorist attack” and said the federal government needs to step up. Continental and the pipeline companies it works with fend off hits every day, he said. “It needs to be escalated from the FBI to the Department of Defense,” he said. “These are foreign terrorists doing this that want to take down America.”

 New Lawsuit Challenges ‘Fast-Track’ Permits Used for Oil and Gas Pipelines Nationwide --Five environmental groups have filed a lawsuit in a Montana federal court alleging that the way that the U.S. Army Corps of Engineers issues permits for oil and gas pipelines nationwide violates some of the country’s cornerstone environmental laws.  This new lawsuit, filed May 3, is the most recent round in a nearly decade-long battle, sparked under the Obama administration, over how regulators approach the environmental impacts from oil and gas pipelines and the extent to which the public gets a say in the permitting process. That battle centers on whether pipeline builders should be allowed to use a generic permit, known to regulators as Nationwide Permit 12 (NWP 12), when pipelines cross rivers, streams and wetlands. Critics say authorizing pipelines with NWP 12 lets builders off the hook when it comes to the environmental scrutiny that would otherwise be required and eliminates a chance for the public to weigh in before construction begins. They say that the way the Corps has used NWP 12 for oil and gas pipelines, approaching each small water crossing separately instead of looking at the cumulative effects from an entire pipeline, has put both drinking water supplies and threatened and endangered wildlife like Florida manatees and whooping cranes at greater risk. “Nationwide Permit 12 is a tool for corporate polluters to fast-track climate-destroying oil and gas pipelines and exempt them from critical environmental reviews and consultations,” said Doug Hayes, an attorney for the Sierra Club, which joined the Center for Biological Diversity, Friends of the Earth, Waterkeeper Alliance, and Montana Environmental Information Center in filing thelawsuit. “There’s no time to waste in eliminating this process, which only serves to bolster the oil and gas industry’s bottom lines.” Tens of thousands of permits for water-crossings are on the line. The Corps has estimated that NWP 12 would be used to permit more than 40,000 water crossings over the next five years — including small projects as well as massive interstate pipelines carrying fossil fuels and the raw materials for plastic and petrochemical manufacturing.  Part of the problem, the lawsuit alleges, is that the Corps’ use of NWP 12 short-circuits the environmental scrutiny required by the National Environmental Policy Act (NEPA), allowing major transmission pipelines that never actually underwent a full environmental review to be approved.

Interior drops Trump proposal for Arctic offshore drilling (AP) — The U.S. Interior Department said Friday that it would not pursue a Trump administration proposal that critics feared would have weakened rules for exploratory oil and gas drilling in Arctic waters. A statement from the department said existing regulations released in 2016 remain in effect and “are critical to ensuring adequate safety and environmental protections for this sensitive ecosystem and Alaska Native subsistence activities.” Leah Donahey, Alaska Wilderness League legislative director, said the rules that have been in place incorporated lessons learned from the 2010 Deepwater Horizon oil spill in the Gulf of Mexico. She also said there has not been a public push by companies showing interest in the region. The changes proposed under the Trump administration were not finalized and sought to remove what federal agencies at that time characterized as “unnecessary, burdensome provisions.” The proposal would have eliminated a requirement that companies submit an operations plan that addresses all aspects of their expected drilling activities before filing an exploration plan, saying companies know they must prepare for risks and challenges through their exploration plan. It also would have changed some rules around containment equipment, among other things, according to a fact sheet from the agencies. Kara Moriarty, president and CEO of the Alaska Oil and Gas Association, said the changes proposed last year made “substantial improvements over the original rule, including revisions to incorporate new technologies and modern drilling practices.” “It is unfortunate that politics have taken over what should have been a purely scientific exercise,” she said in a statement.

A U.S. Virgin Islands Oil Refinery Had Yet Another Accident. Residents Are Demanding Answers - St. Croix residents are demanding answers from a U.S. Virgin Islands oil refinery, and from the officials regulating it, in the wake of a series of recent accidents that they worry have exposed them to toxic chemicals and endangered their health.Since restarting operations in February, the Limetree Bay oil refinery has experienced at least three accidents that have directly affected the neighborhoods surrounding it. That includes a chemical release that occurred during maintenance on the plant last week that produced a nauseating odor, forcing schools to shut down and send children home for the second time in less than a month.The refinery, one of the largest in the United States, has been under investigation by the Environmental Protection Agency since March for possible permit violations, and specifically for a February flaring incident that spewed a plume of steam and fuel residue into the air, covering more than 130 homes with specks of oil and contaminating the drinking water of more than 60 residents. . Croix to look into another flaring incident that released large amounts of sulfuric gases into the air that month. Many residents remain confused over exactly what chemical they had been exposed to. Flaring occurs when a buildup of pressure triggers a safety valve to send chemicals to an incinerator that burns them off. The Virgin Islands government had initially said the April incident released hydrogen sulfide into nearby neighborhoods, while Limetree said the hydrogen sulfide was burned off in a flare, converting it into sulfur dioxide.Both chemicals can be harmful—and even deadly—to humans in high concentrations, causing lung and eye irritation and complicating breathing. The April investigation also found that Limetree was in violation of the Clean Air Act for failing to operate five sulfur dioxide monitors that surround its 1,500-acre property as required by two of its operating permits, though Limetree disputes those requirements. Days after EPA officials announced the Notice of Violation on May 3, Limetree said it would “voluntarily” begin operating the five monitors. “Community concern is growing immensely,” said Jennifer Valiulis, executive director for the St. Croix Environmental Association. “We are receiving more and more calls each day from people that are frustrated with the lack of information and desperate for some relief from the air pollution that is making them sick.”

St. Croix refinery halts operations after raining oil on local residents once again -- A troubled refinery in St. Croix announced Wednesday evening that it would temporarily halt operations after raining oil on local residents for the second time in just over three months.Limetree Bay Refining, which showered a fine mist of oil over houses more than two miles away just three days after restarting operations on Feb. 1, spewed oil and sulfur dioxide into the air Wednesday afternoon. The accident triggered an alert from the Virgin Islands Territorial Emergency Management Agency, which warned residents about a “gaseous odor” and urged those with respiratory illnesses to stay inside.The company acknowledged in a statement that Wednesday’s “incident resulted in a release of oil droplets which traveled directly west,” affecting the neighborhood of Enfield Green, an affluent, gated community, “as well as some industrial sites.” “In response to today’s incident, Limetree Bay has decided to temporarily suspend production activities until further notice,” it added. The island where it showered oil Environmental Protection Agency Administrator Michael Regan tweeted Wednesday night, “The repeated incidents at the refinery are unacceptable. EPA has a team on St. Croix and is committed to taking all necessary action to ensure people’s health and safety is protected.” The plant, which received approval to operate under the Trump administration, has come under close scrutiny since President Biden came into office. In March, the EPA revoked one of the permits the last administration granted the refinery just before Trump stepped down, and it is now investigating whether it poses “an imminent risk to people’s health.” The refinery has experienced multiple accidents over the past three months that have sickened local residents and forced schools, as well as local government offices, to close. The fire occurred at the same unit that caused the Feb. 4 accident, which contaminated dozens of open cisterns — from which many residents get water they use to drink, cook and bathe — and coated more than 200 cars as well as rooftops and gardens.

EPA orders Virgin Islands refinery to shut down, citing ‘imminent’ health threat --It didn’t take long for the Environmental Protection Agency official to discover the problem.It was 7:10 p.m. on a Wednesday night. The EPA employee who had been deployed to the U.S. Virgin Islands to investigate an accident-plagued refinery emailed colleagues to give them the news: “there is oil on my windshield.”On Friday, the Biden administration shut the plant down, citing an “imminent” threat to people’s health after several recent accidents contaminated St. Croix’s drinking water and left hundreds of people sick. In its 45-page order, the agency described the pollution’s impact in the words of its own employees who had come to stop it.“The odor I briefly encountered was overwhelming and nauseating,” recounted another EPA staffer, who was coordinating the agency’s response on the island and inhaled gasoline-like fumes May 6. “I normally am suited up with respiratory protection and other [personal protective equipment] prior to being exposed to something like this.”The rare move by the EPA, which has invoked emergency powers under the Clean Air Act only three times before, signals the extent to which the Biden administration has demonstrated its commitment to environmental justice.“It means that voices of the people have finally been elevated to the point that they’re being heard,” said Frandelle Gerard, who directs the Crucian Heritage and Nature Tourism Foundation and has criticized the refinery.In a statement, EPA Administrator Michael Regan said the agency took the extraordinary step after Limetree Bay showered oil on local residents twice, spewed sulfuric gases into the surrounding area and released hydrocarbons into the air.“This already overburdened community has suffered through at least four recent incidents that have occurred at the facility, and each had an immediate and significant health impact on people and their property,” Regan said. “EPA will not hesitate to use its authority to enforce the law and protect people from dangerous pollution where they work, live, and play.”

Mexico Natural Gas Market Spotlight: Expect Higher Prices in Coming Months - The U.S. Energy Information Administration (EIA) sees natural gas spot prices at Henry Hub averaging $2.78/MMBtu in the second quarter and $3.05 for 2021 overall, a slight upward revision from its forecast last month.According to new research from the U.S. Department of Energy, Mexico paid $2.12/MMBtu on average for U.S. gas in 2020 and $2.57/MMBtu in 2019.The higher prices, based on strong liquified natural gas (LNG) demand and rising U.S. consumption, will translate to higher prices for Mexico, which is importing in excess of 6 Bcf/d on cross-border pipelines from the United States.“In 2022, we expect the Henry Hub price will fall to an average $3.02 amid slowing growth in LNG exports and rising production,” EIA researchers said.Meanwhile Mexico’s production is showing signs of recovery after two months of weakness, according to Wood Mackenzie’s Mexico analyst Ricardo Falcon.So far this month, Mexican dry gas output has averaged slightly more than 2.4 Bcf/d, according to Wood Mackenzie estimates. “This volume exceeds the average of the preceding two months by about 12%. Due to several operating and nontechnical risks, domestic dry gas processing and production saw record lows between February and March this year. If continued, this trend could induce some offsetting effect on U.S. piped gas exports to Mexico.”Anger mounts in Turkey at Israel’s onslaught against Gaza -  As Israel’s ongoing onslaught on Palestinians in East Jerusalem and Gaza provokes mass anger in Turkey, it is also exposing the hypocrisy of the Justice and Development Party (AKP) government led by President Recep Tayyip Erdoğan over the plight of the Palestinian people. The Turkish government and other venal bourgeois regimes in the Middle East are all complicit in the Israeli government’s assault on the Palestinians.Over the past week, thousands of people in many cities of Turkey have protested against Israel’s attacks on the Al-Aqsa mosque in East Jerusalem and subsequent air strikes in Gaza. Mass demonstrations took place in front of the Israeli Consulate and Taksim Square in Istanbul, despite the curfew imposed amid the COVID-19 pandemic.President Erdoğan called Israel a “terror state” last Saturday, after Israeli police stormed the Al-Aqsa mosque, and urged all Muslim countries and the “international community” to take “effective” measures against Tel Aviv.The major establishment parties in parliament—the ruling AKP and its fascistic ally, the Nationalist Movement Party (MHP), as well as the bourgeois opposition, the Kemalist Republican People’s Party (CHP), far-right Good Party and Kurdish nationalist Peoples’ Democratic Party (HDP)—condemned Israel in a rare joint statement on Monday.“We declare that we will always continue to react to Israel’s aggressive actions aimed at eroding the status of Jerusalem and the Temple Mount, and [Israel’s] attempts to usurp the legitimate rights of the Palestinian people,” it said, before claiming, “We strongly declare that we will continue to defend the Palestinian cause and [support] the struggle of the brotherly Palestinian people for freedom, justice and independence.”

Cash-Strapped Pemex Delays Payments to Some Private Oil Partners - Petroleos Mexicanos is racking up millions of dollars in late payments to oil companies as it struggles to generate cash amid skyrocketing debt and weaker crude sales. While Pemex has long sought to stretch its cash further by delaying payments to contractors, people with knowledge of the situation say it’s now also deferring reimbursement to some partner companies in an effort to postpone spending money that’s in increasingly short supply. Some private oil companies in Mexico sell their barrels to Pemex to mix with its own hydrocarbons for export because they lack the infrastructure and scale to sell the crude on their own, the people said, declining to be identified because they weren’t authorized to speak to the media. The Mexican state-owned oil giant owed about $60 million as of April 30 for crude and natural gas to Egypt’s Cheiron Petroleum Corp. and about $4 million as of April 16 to Hokchi Energy, a Mexican subsidiary of Argentina’s Pan American Energy LLC, as well as undisclosed amounts to Wintershall Dea GmbH, according to people with knowledge of the situation, and company documents seen by Bloomberg. Pemex’s latest payment woes underscore the deteriorating state of its finances after more than a decade and a half of falling output due to underinvestment. It has had negative free cash flow every year since 2007, data compiled by Bloomberg show, and has amassed $113.9 billion of debt, far more than peers of a similar size or larger. To be sure, Pemex’s bonds are rising amid an oil-market rebound, signaling growing confidence in the company’s finances as crude prices climb. The government-owned company has never defaulted on its debt. While deferred payments aren’t uncommon among state-owned producers in Latin America, delays in reimbursing partners could erode trust, making it even harder for the producer to stage a recovery, Francisco Monaldi, a lecturer in energy economics at Rice University’s Baker Institute for Public Policy, said in a phone interview. Representatives from Pemex didn’t respond to multiple requests for comment by phone and email. Cheiron didn’t respond to requests for comment made during the Muslim holy month of Ramadan, when working hours in Egypt are limited. Pemex owed Hokchi more than $4 million as of April 16 for oil and gas exports sold in December and January from its field by the same name, with the debt owed since mid-March of this year, according to the documents, and people familiar with the situation. During the term of its contract with Hokchi Energy, “Pemex has made payments corresponding to the volumes of hydrocarbons delivered. Regardless of any specific delay, the relationship developed with Pemex is within the usual commercial terms,” Hokchi said in a statement. Hokchi didn’t specify whether payments for December and January exports had been made. A Wintershall spokesman said the company has a “trustful partnership” with Pemex, referring to a joint venture at the onshore Ogarrio field, and work is ongoing to resolve the payment issue. Wintershall is the operator of the field, with a 50% stake.Bloomberg

Gas Flaring Declined in 2020, Study Finds – NY Times — Gas flaring worldwide decreased by 5 percent in the pandemic year, mostly because of lower demand for oil, according to a recent report from the World Bank. While the overall drop was expected, the report offered a detailed picture of the flaring activities around the world, with steep declines in some areas, like the United States, and surprising increases in others, notably China. Flaring occurs when the gas that emerges with crude oil is burned off rather than captured. That burning emits carbon dioxide, a gas that is the main contributor to climate change. According to World Bank officials, flaring adds roughly 400 million metric tons of CO2 equivalent emissions to the atmosphere every year. According to the report, Russia was responsible for more flaring overall than any other country in 2020, contributing 15 percent of the global total. But within Russia, there were areas of progress. Burning continued to decrease in the Khanty-Mansi region of Siberia, where flaring volumes have dropped by nearly 80 percent over the previous 15 years. The other top flaring countries, according to the report, were Iraq, Iran, the United States, Algeria, Venezuela and Nigeria. China saw the biggest percentage increase among the top 30 countries, with a surge of 35 percent despite the country’s oil production remaining flat. The report cited testing in new oil fields in the country’s remote northwest. The increase moved China up to 9th place overall in flaring volume, from 15th in 2019. The United States recorded a significant 32 percent drop in 2020 from the year before, mainly because of new infrastructure to capture gas that otherwise would have been flared. ImageA drilling rig on the Yamal Peninsula in Siberia in 2019. The report, published at the end of April, relied on data collected by two satellites operated by the National Oceanic and Atmospheric Administration and analyzed at the Payne Institute for Public Policy at the Colorado School of Mines. In addition to contributing planet-warming carbon dioxide to the atmosphere, routine gas flaring can harm the health of people who live near gas sites. It also wastes a potentially useful energy source, a problem that is especially acute in poorer countries.

Brazil LNG demand heading for record year --Brazil is on track to import a record volume of LNG this year because of persistent dry weather coupled with the commissioning of new LNG-to-power projects.  As arid conditions dragged on into April, the electricity sector monitoring committee (CMSE) cleared the dispatch of thermoelectric plants and electricity imports. Hydroelectric reservoirs in the strategic southeast/center-west grid ended April at the lowest average level since 2015. September-April rainfall was the lowest since government records began in 1931. With dry season underway, LNG-linked thermoelectric plants were dispatched ahead of schedule last month to slow the decline of the reservoirs. LNG demand started the year at above-normal levels, with send-out of 18.25mn m³/d in the first two months of the year, according to mines and energy ministry data. This compares to just 4.94mn m³/d in the same period of 2020 and 18.17mn m³/d in the first two months of 2015, when full-year send-out hit a record 17.94mn m³/d. All of the January-February send-out came from two terminals operated by state-controlled Petrobras — Guanabara with 15.33mn m³/d, and Pecem 2.93mn m³/d. Petrobras recently reported total send-out of 19mn m³/d in the first quarter, up nearly 175pc on the year.In April, thermoelectric generation soared by 37pc to 11,613MW, up from 8,492MW in April 2020, according to preliminary data from the electricity clearinghouse CCEE. Nearly all of the increase came from gas-fired power plants, with an average of 5,837MW, more than double the year-earlier average.  Petrobras' leading role in LNG imports is starting to shrink, in line with itsanti-trust commitments. The company is currently in the process of leasing its Bahia LNG terminal. Private-sector Gas Natural Acu's (GNA) 1.33GW GNA1 LNG-to-power project in Rio de Janeiro state is scheduled to begin commercial operations on 31 May. The 1.5GW Porto de Sergipe LNG-to-power project is expected to begin operating by June.

 Fire at Syrian oil refinery extinguished after leakage -- Firefighters extinguished a blaze Sunday in a distillation unit at one of Syria’s two oil refineries, Syrian state TV reported. No one was hurt, but the fire caused some damage to the facility, a refinery official said. The TV named the cause of the fire as crude oil leakage from one of the pumping stations at the Homs Oil Refinery in the central province of Homs. The fire came amid a series of mysterious attacks on vessels and oil facilities in Syria over the past months. The war-torn country has been suffering from fuel shortage in recent months. Head of Homs Oil Refinery Suleiman Mohammed told state TV that the distillation unit that caught fire is one of four at the refinery. In addition to the refinery in Homs, Syria has another one near the coastal town of Banias. Both are government-run and operating. Syria’s oil resources are mostly outside of government controlled areas. Syria controls some small oil and gas fields in the country’s center but most of the country’s large fields in the east are controlled by U.S.-backed Kurdish-led fighters. This has made Damascus reliant on Iran for fuel. The U.S. Treasury sanctions have targeted a network that spanned Syria, Iran and Russia responsible for shipping oil to the Syrian government. In late April, Syria’s oil ministry said a fire erupted in an oil tanker on its coast after what it said was a suspected drone attack. In January, an explosion in an oil tanker outside a state fuel distribution company in Homs caused massive fire. The minister of oil told Syrian state TV at the time that seven tankers caught fire but there were no civilian casualties.

Oil gains after cyberattack forces shutdown of U.S. fuel pipelines --Oil rose on Monday after major U.S. fuel pipeline operator Colonial Pipeline had to shut fuel pipelines due to a cyberattack, raising concerns about supply disruption and pump price increases. Colonial Pipeline said on Sunday its main fuel lines remained offline after the attack that shut the system on Friday, but some smaller lines between terminals and delivery points were now operational. "The Colonial Pipeline hack headlines over the weekend have lifted oil prices," said Jeffrey Halley, analyst at brokerage OANDA. "Colonial aside, oil may be vulnerable to some abrupt long-covering sell-offs as the week progresses." Brent crude was up by 31 cents, or 0.5%, at $68.59 a barrel by 0820 GMT. U.S. West Texas Intermediate futures (WTI) crude rose by 46 cents, or 0.7%, at $65.36. Both benchmarks rose more than 1% last week, their second consecutive weekly gain. "The major takeaway is the bad guys are very adept at finding new ways to penetrate infrastructure," Andrew Lipow, president of Lipow Oil Associates told Reuters. "Infrastructure has not developed defenses that can offset all the different ways that malware can infect one's system." The White House was working closely with Colonial to help it to recover. Commerce Secretary Gina Raimondo said the pipeline fix was a top priority for the Biden administration and Washington was working to avoid more severe supply disruptions. Oil has risen 33% this year due to supply cuts by the Organization of the Petroleum Exporting Countries and allies, known as OPEC+, and easing coronavirus movement restrictions in the U.S. and Europe. While some analysts have said oil demand may never reach pre-pandemic levels, Goldman Sachs said it expected this by the end of the year and predicted Brent would hit $80 and WTI $77 within six months.

Oil ends pennies higher as traders weigh impact of Colonial Pipeline cyberattack  Oil futures ended a few pennies higher Monday, after a ransomware attack forced the shutdown of pipelines supplying around 45% of fuel to the East Coast. Crude prices spent some time during the session trading a bit lower on expectations that the U.S. will have to slow its refining activities and boost imports of gasoline. Alpharetta, Ga.-based Colonial Pipeline Co., which operates the 5,500-mile Colonial Pipeline system that transports fuel from Gulf Coast refineries to the East Coast, said over the weekend that it was the victim of a cyberattack and had temporarily shut down pipeline activity to contain the threat. Oil prices pulled back for bit as "talk of traders booking European cargoes for gas to import to the U.S., as well as fears that refining runs in the Gulf Coast will have to slow" due to the pipeline shutdown, In an update on Monday (link), however, Colonial Pipeline said it's executing a plan to "facilitate a return to service in a phased approach," with a goal to "substantially" restore operational service by the end of the week. West Texas Intermediate crude for June delivery rose 2 cents, or 0.03%, to settle at $64.92 a barrel on the New York Mercantile Exchange. July Brent crude , the global benchmark, added 4 cents, or nearly 0.1%, at $68.32 a barrel on ICE Futures Europe. Gasoline futures jumped early Monday on Nymex, then gave back nearly all of those gains as oil prices eased. The June contract rose 0.3% to $2.13 a gallon after trading as high as almost $2.22. June heating oil edged up by 0.3% to $2.02 a gallon."The big unknown is how long the shutdown will last, but clearly the longer it goes on, the more bullish it will be for refined product prices," "Stronger prices on the U.S. East Coast will drag refined product prices higher in other regions, given that an extended shutdown will see the East Coast having to turn to waterborne cargoes, particularly from Europe,"

Oil falls as pipeline outage weighs on U.S. Gulf Coast refinery runs --Oil prices fell on Tuesday as the prospect of the main U.S. East Coast gasoline pipeline remaining shut for the rest of this week led some U.S. Gulf Coast refiners to cut output, denting their appetite for crude.U.S. West Texas Intermediate (WTI) crude futures fell 72 cents, or 1.1%, to $64.20 a barrel, after gaining 2 cents on Monday.Brent crude futures dropped 66 cents, or 1%, to $67.67 a barrel, after climbing 4 cents on Monday.Colonial Pipeline, which transports more than 2.5 million barrels per day (bpd) of gasoline, diesel and jet fuel, shut down its network on Friday after being hit by a cyberattack. "It's quite possible we'll see reduced crude oil demand. Some refineries in Texas have already scaled back runs because of the pipeline being out," said Lachlan Shaw, National Australia Bank's head of commodity research."That will weigh on crude oil prices pretty obviously, even though parts of the pipeline are restarting and Colonial is expecting the pipeline to be back to capacity by the weekend."Colonial said on Monday it aims to resume full operations by the end of this week. The outage, however, has already led Motiva Enterprises LLC to shut two of three crude units at its 607,000 bpd Port Arthur refinery in Texas, the largest in the United States.Total SE also cut gasoline output on Monday at its 225,500 bpd Port Arthur refinery due to the pipeline outage. The benchmark U.S. gasoline futures contract, which spiked after the outage, has now retreated to pre-Friday levels on the prospect of the restart. On Tuesday, the contract was down 0.6% at $2.1212 a gallon.On the positive side for crude, analysts are expecting data to show U.S. crude inventories fell by about 2.3 million barrels in the week to May 7, following an 8 million-barrel drop the previous week, according to a Reuters poll. Gasoline stocks are expected to have fallen by about 400,000 barrels, six analysts estimated on average ahead of reports from the American Petroleum Institute industry group on Tuesday and the U.S. Energy Information Administration on Wednesday.

Light Crude Ends Session Above $65  -- Oil rose as a weaker dollar lent support and offset a burgeoning pile up of crude in the U.S. Gulf Coast as refineries there cut runs in response to the Colonial Pipeline shutdown. Crude futures in New York rose less than 1% Tuesday. The dollar has traded steadily weaker, making commodities priced in the currency more attractive. Colonial Pipeline Co. is working to restart its oil-products system, the largest in the U.S., after a cyberattack shuttered operations. While gasoline stations from Alabama to Virgina report shortages, refiners in the U.S. Gulf are reducing output to avoid a glut in the absence of the pipeline. Some refiners have already chartered ships to store refined products offshore. “The dollar index trading lower explains the slight increase in oil prices,” said Bob Yawger, head of the futures division at Mizuho Securities. The weak dollar may have saved the day for crude oil, which was facing pressure from refiners being forced to store barrels they can’t feed into the pipeline, he said. U.S. crude oil prices are up 2.7% so far this month even with coronavirus-induced demand concerns, particularly in India, limiting rallies. Still, the Organization of Petroleum Exporting Countries on Tuesday lifted its forecast for the amount of crude it will need to produce and the group now sees a small decline in U.S. supplies this year, mostly due to the Texas freeze in February. Traders are expecting “a gradual resolution to the Colonial Pipeline shutdown,” according to Louise Dickson, an analyst at consultant Rystad Energy. “The market is again looking to Asia, Covid-19 cases, and the next signals for oil demand outlook.” West Texas Intermediate for June delivery rose 36 cents to settle at $65.28 a barrel in New York. Brent for July settlement gained 23 cents to end the session at $68.55 a barrel. U.S. gasoline futures rose 0.3% to settle at $2.1399 a gallon. Meanwhile, the knock on impact of the Colonial disruption is rippling through to everything from refining to shipping.

WTI Dips After Big Surprise Build In Gasoline Inventory - Amid all the chaos in equity markets, oil managed to bounce back to modest gains on the day with WTI as a weaker dollar offset some concerns of a growing pile up of crude in the U.S. Gulf Coast as refineries there cut runs in response to the Colonial Pipeline shutdown.Traders are expecting “a gradual resolution to the Colonial Pipeline shutdown,” according to Louise Dickson, an analyst at consultant Rystad Energy.“The market is again looking to Asia, Covid-19 cases, and the next signals for oil demand outlook.”This week's inventory data will not show the impact of the cyberattack on the pipeline. API:

• Crude -2.533mm (-2.1mm exp)
• Cushing -1.209mm
• Gasoline +5.64mm - biggest build since April 2020
• Distillates -872k

After the previous week's big crude draw, analysts expected another draw and were right but gasoline stocks unexpectedly surged...WTI hovered around $65.40 ahead of the API data, and dipped on the big gasoline build (and once again, this is before the Colonial impact)... “We are far from out of the out of the woods with the Colonial situation,” . “A scare among consumers is increasingly likely, where a run on gas stations may develop more broadly, especially if there is no resolution by the end of the week.”

WTI Fades From Cycle Highs After Disappointing Inventory Data --Oil prices are continuing their recent acceleration this morning, with WTI above $66.50, after the International Energy Agency said a record glut built up last year is gone. Last night's surprise gasoline build from API did nothing to shake confidence in demand returning (crude stocks dropped as expected). It wasn't all positive though as IEA cut its oil demand forecasts as COVID continues to crush India.“The outlook for demand remains fragile,” But the agency is “expecting a very strong recovery in demand growth in the second half of the year.”Bear in mind this week's inventory data will not show the impact of the cyberattack on the pipeline. DOE

• Crude -426k (-2.1mm exp)
• Cushing -421k
• Gasoline +378k
• Distillates -1.734mm

Official EIA data is significantly different from API's report with crude stocks only drawing down very modestly and gasoline inventories only building by a small amount...Keep in mind all these changes happened before Colonial Pipeline went down. The picture is likely much altered right now, with East Coast stockpiles falling this week because of the pipeline hack. Some three-quarters of stations in a few cities are without gasoline today, according to Gas Buddy. US crude production remains 'disciplined' despite soaring prices and rising rig counts...

Oil surges with U.S. supply drop underscoring global rebalancing – BNN - Oil rose to the highest since early March with a second straight weekly decline in U.S. crude supplies underscoring the progress the world has made in draining a record supply glut built up last year. Futures in New York gained for a fourth straight day on Wednesday, while global benchmark Brent crude neared US$70 a barrel. A U.S. government report showed domestic crude inventories fell to the lowest since late February last week. Meanwhile, gasoline supplies rose by 378,000 barrels, the Energy Information Administration report showed. Declining crude stockpiles in the U.S. support the International Energy Agency’s view that the world has largely worked off the surplus it accumulated when the pandemic devastated demand. While the agency cut its oil consumption forecasts in a monthly report, it said the glut is now just a small fraction of levels seen at the depths of the coronavirus fallout last year. The weekly storage report showed domestic supply levels ahead of the cyberattack that halted the largest U.S. oil-products pipeline system. Panic-buying spurred by the ongoing outage of the Colonial Pipeline has pushed retail gasoline prices above US$3 a gallon for the first time in more than six years, while supplies at some terminals have been wiped out on the U.S. Northeast. That’s all before the upcoming summer travel season is expected to unleash a wave of pent-up demand built up during the pandemic. “Even if everything is fixed at this second, we’re probably still looking at a couple of weeks of trouble,” said Bill O’Grady, executive vice president at Confluence Investment Management in St. Louis. “That runs us right into Memorial Day,” around which the U.S. summer driving season starts. Still, the impact of the shutdown on headline crude prices is muted for now. The market remains buoyed by prospects for recovering energy demand around the world and broader bets on global inflation. U.S. consumer prices climbed in April by the most since 2009, exceeding forecasts, official figures showed Wednesday. Prices: West Texas Intermediate for June delivery climbed 80 cents to settle at US$66.08 a barrel. Brent for July settlement gained 77 cents to US$69.32 a barrel. The U.S. average retail gasoline price was at US$3.008 a gallon, according to auto club AAA. The EIA report showed crude exports falling by the most on record to the lowest since 2018. While the figure jumped above 4 million barrels a day the previous week, it has struggled to consistently top 3 million barrels a day for several months.

Oil drops as India coronavirus crisis tempers rally - Oil drops on India's COVID-19 crisis, pipeline resumption - Oil prices fell more than 2% on Thursday as India's coronavirus crisis deepened and a key U.S. pipeline resumed operations, halting a rally that had lifted crude to an eight-week high after the IEA and OPEC forecast a rebound in global demand later in the year. Brent crude was down $1.65, or 2.3%, at $67.67 a barrel, after rising 1% on Wednesday. West Texas Intermediate (WTI) was down $1.66 cents, or 2.5%, to $64.42 a barrel, having risen 1.2% in the previous session. If those losses are sustained, both contracts would mark their biggest daily drops in percentage terms since early April. In a bearish signal for oil demand, a variant of the coronavirus has swept through the countryside in India, the world's third-biggest importer of crude. Medical professionals have not been able to say when new infections will plateau and other countries are alarmed over the transmissibility of the variant that is now spreading worldwide. "Concerns are growing that the untamed spread of the coronavirus in India and in Southeast Asia will dent oil demand," PVM analysts said in a note. "Its impact, however, is expected to be relatively brief and the second half of the year will see the healthy revival of oil demand growth." Meanwhile, fuel shortages worsened in the southeastern United States, six days after the shutdown of the Colonial Pipeline, the largest U.S. fuel pipeline network, following a ransomware attack. The pipeline began to slowly restart on Wednesday and Colonial, which pumps more than 2.5 million barrels per day of fuel, said it hoped to get a large portion of the network operating by the end of the week. "While the disruption is meaningful for local retail markets, its impact is still likely to be transient as there is no physical damage to the pipeline," Goldman Sachs analysts said. The dollar also strengthened compared with a basket of other currencies, making oil more expensive for holders of other currencies.

Oil Prices Tumble On Inflation Worries - Oil prices fell sharply on Thursday as inflation fears dented hopes for economic recovery. Overnight data showed that the U.S. annual inflation rate jumped to the highest in 13 years and well above forecasts, raising concerns of a tighter monetary policy and its impact on the global growth outlook. Meanwhile, concerns over a disruption in the supply chain eased after the Colonial Pipeline Company announced that it was restarting pipeline operations and that the supply chain would "return to normal" within the next several days. Brent futures for July settlement plunged 2.5 percent to $67.56 per barrel, while WTI crude oil futures for June delivery were down 2.7 percent at $64.29 amid broad-based risk aversion in financial markets. As inflation worries mount, China Premier Li Keqiang urged the country to deal effectively with the commodity price surge and its impact, according to a state television report. The International Energy Agency (IEA) on Wednesday cut its global crude oil demand growth expectations for 2021, saying that the coronavirus crisis in many parts of Asia, particularly India, has clouded the outlook for consumption.

Oil Loses Over 3% Amid U.S. Fuel Pipeline Reopen, India COVID - - Oil prices tumbled more than 3% Thursday for their worst loss in a month after a key pipeline for U.S. fuel reopened from a cyberattack, erasing gains from earlier in the week helped by a squeeze in gasoline supplies. India’s festering Covid situation, which was infecting more than 350,000 people a day and killing over 4,000, added to the downward pressure on oil which counts on the country as its third largest consumer. New York-traded West Texas Intermediate, the benchmark for U.S. crude, settled down $2.26, or 3.4%, at $63.82 per barrel. It was WTI’s sharpest one-day decline since April 5, when it lost 4.5%. London-traded Brent, the global benchmark for crude, finished the session down $2.27, or 3.3%, at $67.05. Brent’s previous sharpest loss was also on April 5, when it fell 4.2%. The price drop was largely triggered by the reopening of the Colonial Pipeline that was shut for six days to contain a cyberattack on the largest fuel delivery system in the U.S. East Coast. The outage had led to a temporary gasoline squeeze in the No. 1 economic region of America, sending gasoline futures up 2% at one point this week and pump prices to seven-year highs of $3 a gallon. On Thursday, gasoline futures settled down 3% to just under $2.10 per gallon on news that the Colonial Pipeline was back in operation after its operator reportedly paid a $5 million ransom to the hackers of its system. President Joe Biden declined comment when asked about this. The setback in both oil and crude prices raised questions about the seasonal upward momentum for energy markets ahead of the Memorial Day weekend in the United States. The occasion, which falls on May 31 this year, has traditionally served as the starting gun for the summer race in oil prices, as demand peaks from Americans who set out for long road trips. But the outbreak of the coronavirus pandemic last year upended this, with only 23 million people traveling by road for Memorial Day 2020, the lowest on record since the American Automobile Association began recording the data in 2000. The AAA expects 37 million travelers this time, up 60% from last year. Demand for oil has improved remarkably from a year ago, with the 50 U.S. states having reopened most or all of their economies from Covid-lockdowns and restrictions.

Oil Futures Rally as Inflation Buzz Intensifies, US Dollar Softens - Oil futures nearest delivery on the New York Mercantile Exchange and the Brent crude contract on the Intercontinental Exchange rallied in afternoon trade Friday, sending the U.S. crude benchmark above $65 per barrel (bbl). The gains came on the back of an eroding U.S. dollar as traders positioned for higher inflation and weaker-than-expected macroeconomic data in the United States. U.S. retail sales for April were unchanged from the previous month at a collective $619.1 billion, according to the data from the Commerce Department, missing expectations for a 1% gain. The weaker-than-expected reading, however, follows a 10.7% surge in March, fueled by the stimulus checks and pent-up demand in the wake of the lifting of government restrictions on businesses. Some analysts attribute the flat retail sales reading to a stabilizing economy and a more normal operating environment for services.Sales were up 2.9% at auto and parts dealers, where shortages in available cars have driven up prices, and 3% at restaurants and bars, a positive sign for the hard-hit industry as the U.S. economy more fully opens.On Thursday, the Centers for Disease Control and Prevention lifted its guidance on masking for the fully vaccinated, saying those who have received all their shots can now safely do most indoor and outdoor activities without social distancing or wearing masks.The move should further boost economic activity and faster return to work and entertainment venues.With an expected increase in social and business activity also comes the prospect for a faster increase in inflation, with recent data showing consumer price increases are running at their fastest pace since 2008 and factory-gate inflation hit its highest level since 2010. The Department of Labor reported the consumer price index jumped 0.8% in April compared with a consensus for a 0.2% increase, lifting year-on-year headline inflation to 4.2% -- the largest 12-month increase since September 2008.Fanned by inflation fears, U.S. consumer sentiment unexpectedly slumped in May to 82.8 versus estimates for a gain to 90.1. Expected year-ahead inflation rate and the long-term inflation rate was the highest in over a decade, said Richard Curtin, the survey's chief economist."Rising inflation also meant that real income expectations were the weakest in five years," Curtin said. The average of net price mentions for buying conditions for homes, vehicles, and household durables were more negative than any time since the end of the last inflationary era in 1980, he said.

Oil up 3rd Week in Row After Swings on Pipeline Saga, Gasoline & India - It’s been a volatile week for oil as the Colonial Pipeline saga and the associated boom-bust-boom in gasoline from that played against the backdrop of India’s festering Covid situation. With Friday’s settlement, the bulls in crude could heave a sigh of relief: It was another winning week. In fact, the third in a row. New York-traded West Texas Intermediate, the benchmark for U.S. crude, settled at $65.37, up $1.55, or 2.4%. The rally helped offset a chunk of Thursday’s 3.4% drop — which was WTI’s worst one-day decline since April 5. For the week, the U.S. crude benchmark gained 0.7%, adding to last week’s 2.1% advance and the prior week’s 2.3% rise. London-traded Brent, the global benchmark for crude, hovered at $68.68 by 2:45 PM ET (18:45 GMT), up $1.63, or 2.4%, on the day. Brent dropped 3.3% in the previous session, also its most since April 5. For the week, the global crude benchmark showed a gain of 0.6%, adding to last week’s 1.5% advance and the prior week’s 1.7% rise. Friday’s rebound in oil was helped by short-covering on the previous day’s activity and a second day of broad gains on Wall Street after three prior days of carnage. Also fueling the market — literally — was optimism about gasoline demand in the next two weeks before the May 31 Memorial Day holiday in the U.S., which typically serves as the starting gun for the summer race in oil prices as demand peaks from Americans setting out on long road trips. The American Automobile Association expects as many as 37 million road travelers on this Memorial Day, up 60% from last year’s pandemic-suppressed 23 million.Aside from gasoline, the market’s focus was on the Covid situation in India, the world’s third biggest oil consumer, where 4,000 people died from the virus for the third straight day and total infections crossed 24 million. India is in the grip of the highly transmissible B.1.617 variant of the coronavirus, first detected there and now appearing across the globe. Prime Minister Narendra Modi said his government was "on a war footing" to try to contain the strain. 

WTI Ends Week Above $65  | Rigzone - Oil in New York surged the most in a month on Friday as prices garnered support from a recovery in equities and a softer dollar. West Texas Intermediate climbed back above $65 a barrel, eking out a third straight weekly gain as a weakening dollar boosted appeal for commodities priced in the currency. Concerns persist over the spread of Covid-19 in Asia, which has tempered further gains. Progress on reopening economies in countries including the U.S. supports expectations for heavy summer travel, buttressing the market’s underlying structure from recent weakness. The premium of Brent’s nearest contract against the next month strengthened on Friday to its widest in over a week. Growth in that structure, which is called backwardation, suggests the market is expecting tighter supplies. “The economy looks a lot better,” with the U.S. easing its mask mandate “suggesting that we’re going to be close to normal soon,” said Michael Lynch, president of Strategic Energy & Economic Research. Still, “any boost that happens with demand will likely be met by restored supply.” Oil prices have been stuck in a range lately, with optimism around global inventories rebalancing being offset by constant reminders that parts of the world remain far from a full recovery from the pandemic. The International Energy Agency said this week that the global glut that built up last year has cleared. However, the agency also lowered its demand estimates due to the virus resurgence in India. “So far, the demand recovery is still fairly uneven,” said Bob Ryan, commodity & energy strategist at BCA Research. “Covid has not yet been contained. But next year, prices more than likely drift up toward $70 a barrel, because of the synchronization of the global recovery from the pandemic.” Meanwhile, gasoline stations are still in the process of returning to normal following the restart of the Colonial Pipeline. Fuel supply disruptions in parts of the U.S. East and South may still be weeks out from returning to normal after a cyberattack halted the largest fuel pipeline in the U.S. WTI for June delivery rose $1.55 to settle at $65.37 a barrel. The contract gained 0.7% for the week. Brent for July settlement gained $1.66 to end the session at $68.71 a barrel, posting a 0.6% weekly gain. Oil demand looks set to continue rising into this summer with restrictions easing in many of the world’s largest economies.

Iran To Saudi Arabia: Sell Our Oil And We Will Reduce Houthi Attacks - Iran is looking to persuade its regional rival Saudi Arabia to help it to sell Iranian crude oil on international markets in exchange for limiting attacks from the Iran-aligned Houthi rebels in Yemen on Saudi oil infrastructure, Middle East Eye reported on Wednesday, quoting Iraqi officials with knowledge of recent secretive Iranian-Saudi talks in Baghdad.Iran is currently negotiating with the signatories to the so-called nuclear deal, as well as indirectly with the United States, to potentially return to the Joint Comprehensive Plan of Action (JCPOA). The U.S. withdrew from the deal in 2018 and slapped sanctions on Iran’s oil exports, which have crippled Iranian crude sales abroad. Despite the U.S. sanctions, Iran has been exporting part of its crude oil, and exports have been estimated at around 500,000 bpd recently.Yet, until the sanctions are in place, Iran is looking for alternatives to have its oil sold on the international markets, and is reportedly looking to negotiate with Saudi Arabia for this. The Saudis, for their part, are looking to end the recent flare-up of attacks on Saudi Aramco oil facilities from the Houthis in Yemen.Saudi Arabia and Iran held direct talks in Iraq last month, the Financial Times reported at the time. The talks reportedly involved the proxy war in Yemen and the recent increase of attacks from the Houthis on oil facilities and oil infrastructure targets in Saudi Arabia.According to Middle East Eye’s sources, Iran and Saudi Arabia held another round of talks in Iraq last week, again focused on the war in Yemen.During the talks last week, Iran “offered to sell it [the oil] to the Saudis at a price lower than international prices on the condition that the Saudis sell it on the world markets in their own way,” a senior Iraqi official close to Iran and familiar with the talks told Middle East Eye. Saudi Arabia demanded an end to the Houthi attacks, and this was their biggest interest in the talks, according to the Iraqi officials familiar with the talks.

Netanyahu’s provocations in East Jerusalem threaten war with Palestinians - Palestinian demonstrators were met once again on Sunday night by Israeli police clad in riot gear and on horseback in a neighbourhood in occupied East Jerusalem where Zionist settlers are seeking to evict Palestinian families from their homes. Sunday’s protests follow days of clashes incited by heavy-handed Israeli repression. Demonstrators also took to the streets of the northern port city of Haifa, where 18 were arrested, as well as Nazareth and Ramallah. There were also clashes with riot police outside the gates of the Hebrew University of Jerusalem, where an attack on a Palestinian by Israeli civilians sparked a protest. The Palestinian Red Crescent reported that 14 people had been treated for injuries suffered at the hands of the Israeli security forces, bringing the total number treated for injuries over the past three days to 560. Prime Minister Benjamin Netanyahu’s government have readied the police and Israel Defence Forces (IDF) in preparation for further clashes with the Palestinians on Monday, when a provocative march by far-right Israeli nationalists is to take place in Jerusalem. Tensions have been mounting in Jerusalem and the occupied West Bank since the start of the month-long Ramadan fast on April 12. The authorities installed barricades around the plaza outside the Damascus Gate, a traditional gathering place during Ramadan for worshippers after prayers in the al-Aqsa mosque, leading to multiple clashes with police and hundreds of injured Palestinians. In addition, the authorities had disconnected the mosque’s loudspeakers so that the call to prayer would not disrupt Israel’s Memorial Day ceremony for fallen soldiers at the Western Wall, and restricted the number of West Bank Palestinians attending Ramadan services at the compound to just 10,000, subject to vaccination. There have been nightly confrontations with the police in Sheikh Jarrah, a Palestinian neighbourhood north of the Old City. Palestinian Israelis have been gathering to protest the likely eviction of Palestinian families, in a long-running legal case, to make way for settler homes and the increasing encirclement of the Old City by Jews. The fascistic and racist legislator Itamar Ben-Gvir, cultivated by Netanyahu in a bid to bolster his support base, sought to fan the flames by setting up his own “office” in the neighbourhood. The Supreme Court hearing on the case, set for today, has been postponed for 30 days at the Attorney General Avichai Mandelblit’s request. The planned eviction is part of the government’s broader process of judaicising the city, making it impossible for the Palestinians to ever set up their own mini-state with some part of East Jerusalem as its capital.

9 children among 20 dead in Israeli airstrike after rocket attack --The Gaza Ministry of Health on Monday said that nine children were among 20 people killed by an Israeli airstrike apparently launched in retaliation for rocket attacks aimed at Jerusalem amid growing tensions between Israeli and Palestinian communities.The Washington Post and The Associated Press reported that the airstrike also killed three Hamas militants, citing Gaza's health ministry. It was one of the deadliest single incidents to occur in recent days as violence has surged around and in Jerusalem.The Pentagon on Monday defended the Israeli airstrike."Today’s rocket attack from Gaza into Israel is unacceptable, and the United States supports Israel’s right to self defense, and here at the department we’re going to continue our cooperation to ensure that Israel has what it needs to defend and project itself," Pentagon press secretary John Kirby said."Obviously we don’t want to see innocent lives taken and nobody wants to see this level of violence but as I said ... these rocket attacks from Gaza are unacceptable."Violence erupted at the Al-Aqsa mosque in Jerusalem over the weekend with videos showing Israeli riot police storming the building as screaming worshippers fled in terror and hundreds were injured. Nearly two dozen officers were also injured by rocks thrown by Palestinian protesters in the same incident, according to Israeli officials. Airborne rocket attacks were aimed at Jerusalem on Monday by Hamas militants in response. It was unclear if there were any injuries or deaths, but one Israeli man was reportedly injured when an anti-tank rocket struck his car in a separate attack according to the Post. The airstrike came as Israel's prime minister, Benjamin Netanyahu, warned that Hamas militants would pay a price for the rocket attacks aimed at Jerusalem hours earlier. “The terrorist organizations in Gaza crossed a red line and attacked us with missiles at the entrances to Jerusalem. Israel will respond with great force," said Netanyahu. “We did not want to escalate, but those who chose to escalate will be hit forcefully.”Tensions have soared in the country for weeks amid Israeli settlement efforts in the Sheikh Jarrah neighborhood, where Palestinian residents say they are being illegally evicted by settlers, a longstanding issue between the two communities.

Israel kills 24 in Gaza as Netanyahu steps up provocations on Jerusalem Day - Israel launched air strikes against Gaza, the besieged Palestinian enclave, killing 24 people including children. Militants had earlier fired a few rockets at southern Israel and the Jerusalem area, in a day characterized by massive violence against the Palestinians in occupied East Jerusalem. Israel’s military announced it had beefed up its forces on its border with Gaza and was suspending a major drill to prepare for a possible escalation.  Earlier in the morning, 1,000 security forces stormed the al-Aqsa Mosque compound in East Jerusalem as worshippers were praying, firing stun grenades, tear gas and rubber bullets, while snipers took up positions on rooftops, injuring more than 330 Palestinians. More than 700 Palestinians have been injured in just a few days by Israeli security forces in Jerusalem and across the West Bank. Police locked hundreds of worshippers inside the mosque, prevented doctors and medical teams from entering the compound and attacked and beat up those who sought to help the injured. They forced their way into the compound’s health clinic, where they sprayed pepper gas and lobbed stun grenades at those receiving treatment there. The storming of the mosque, the third holiest site in Islam, provoked angry demonstrations around the country, including in the northern Arab city of Umm al-Fahm and the nearby Wadi Ara, as well as in Jaffa which has witnessed protests over the past week against plans to take over Palestinian-owned houses for a Jewish yeshiva. The crackdown on Jerusalem Day—the anniversary of Israel’s illegal annexation of East Jerusalem, captured from Jordan in the 1967 War—ahead of the planned Flags March by Israel’s settler groups and far right forces through Arab neighbourhoods, was another provocation designed to precipitate a war with the Palestinians.

 Israel’s military continues airstrikes on Gaza as it prepares for an “indefinite” operation - On Tuesday, Israel launched a massive aerial bombardment of 140 airstrikes on Gaza, killing a further two Palestinians. This brings the death toll to 33 , including nine children and one woman. At least 122 people have been injured, 41 of them children. More than 12 percent of all injuries were “serious,” according to the Palestinian Ministry of Health. One of Israel’s targets, a 13-storey residential tower in Gaza City that houses an office used by the political leadership of Hamas collapsed. Salameh Marouf, who heads the government information office in Gaza, told Al Jazeera that Israel had “intentionally targeted service facilities, such as near the water desalination facility to the north of Gaza, which put it out of service.” Lt. Col. Jonathan Conricus, Israel’s military spokesman said that 15 militants had been killed in strikes by jets and unmanned drones. He said nothing about the civilian deaths and injuries, adding cynically, “We are doing everything possible to avoid collateral damage.” He reported that the military’s air campaign was still in its “early stages,” implying that assassinations of Hamas leaders were on the agenda. Gaza, home to nearly two million Palestinians, most of whom are under 25 years of age, has suffered a criminal 14-year blockade, three murderous wars—the last in 2014—and numerous assaults at the hands of Israel since 2006. Israel’s latest attacks on Gaza started on Monday night in response to calls by Hamas to withdraw security forces from Jerusalem’s al-Aqsa Mosque compound and Sheikh Jarrah neighbourhood. Israeli Prime Minister Benjamin Netanyahu has on several occasions ordered the deployment of security forces to the al-Aqsa compound, the third holiest site in Islam, during the month-long Ramadan fast that began April 12. None of the authorities have sought to give the slightest justification for Monday’s storming of the compound by security personnel who trampled over prayer mats, attacking worshippers with rubber bullets and stun grenades, injuring 520 Palestinians of whom 330 needed hospital treatment. Police Commissioner Koby Shabtai told Channel 12 News that the police had been “too soft” in dealing with the Palestinians in the compound and that they were going to get tougher.

"Literally Armageddon": 53 Killed In Gaza & 5 Israelis Dead As UN Warns "Full-Scale War" Imminent -- After overnight sustained rocket fire from Gaza and at the same time Israeli airstrikes pounding the strip, the combined death toll reached to at least 50, with hundreds more injured, into Wednesday. International reports are citing over 50 Palestinians killed in Gaza alone, many among these children.Middle East Eye cites the following numbers by late into the afternoon (local time): "At least 53 people have been killed in Gaza since Israel began its bombing campaign in the besieged territory on Sunday morning." "That number, accurate as of Wednesday afternoon, includes 14 children and three women, with a further 320 people wounded with injuries of varying degrees of severity, according to Gaza's health ministry."And on the Israeli side, local reports cite that "three Israeli women were killed in rocket attacks, with more than 50 injured, including two women in serious condition: an 81-year-old as well as a 30-year-old who was hit by shrapnel in her upper body."This takes the death toll on the Israeli side to five since the start of fighting early this week.The IDF announced that 16 among the Gaza dead were militants - some of them "senior commanders" - while also counting "hundreds" of Hamas and Islamic Jihad rockets fired into Israel, many reaching deep into central Israel and scoring direct hits on heavily populated residential areas. Israeli media is reporting that multiple members of Hamas' "General Staff" were eliminated in airstrikes Wednesday: Hamas' rocket response grew in intensity especially after a 13-story apartment building was struck and completely collapsed in on itself. Israel is claiming that it gave the occupants multiple "warnings" to get out before the building was attacked.

Gaza marks deadly Eid al-Fitr amid Israeli bombardment: Live  --Palestinian residents of Gaza Strip woke up on Thursday to mark Eid al-Fitr – one of the holiest occasions in the Islamic calendar – amid relentless aerial bombardment by Israel. Heavy bombardment on the Gaza Strip continued early on Thursday as Israeli forces launched a series of air raids on various locations.“Most of Gaza is awake,” Al Jazeera’s Safwat al-Kahlout said, noting that bombardments continue into the night and early on Thursday.“From time to time you hear loud explosions, and the buildings are shaken.”Hamas confirmed that its Gaza City commander, Bassem Issa, was killed in an Israeli air attack along with other senior members of the group. The national security office of Hamas was also reportedly hit again by Israeli strikes early on Thursday. In Gaza City’s Tel al-Hawa neighbourhood, a pregnant woman, Reema Telbani and her child were killed in an Israeli attack on their home. An elderly couple in Gaza’s Sheikh Zayed neighbourhood were also buried under the rubble of their residence, after an Israeli strike.Gaza’s Ministry of Health said the overall death toll since the start of the latest offensive stood at 69, including 17 children and eight women as of early Thursday. More than 390 others have been wounded.Hamas, the group that rules the Gaza Strip, also launched a barrage of rockets into Israel after Israeli missiles destroyed a third tower in the besieged coastal territory.

A Night Under the Bombs in Gaza - We are six people sitting in the living room. Each with a phone in hand and earphones in, following the news of what is happening in Gaza and Jerusalem. The most urgent question on everyone’s mind: where will the next bomb hit? More than 83 Palestinians, among them at least 17 children, have been killed by Israeli bombing on Gaza since 10 May, according to the Palestinian health ministry. Israeli raids have targeted civilian buildings, flattening at least three of Gaza’s high rises and making hundreds homeless. The house feels like it is shaking. At midnight, the sky flares red and my mother nervously tells us to remove our earphones. When we hesitate, she panics and shouts, “Remove them now!” She is afraid the sound of the blaring news and the exploding bombs will harm our ears. Now alarmed ourselves, we all obey, silently looking at each other. My younger sister, Nesma, a lawyer, suggests we all lay down, out of sight, since the light of the shells is reflecting on our uncle’s house next door. Seconds later, our house feels like it is shaking again, and this time the windows and doors join the party. After 15 mins, things are calm again, although we can still hear the drones. Nesma offers to make some tea and I say that I will select some nice music to cover the bombing. We need to calm ourselves as well. I play a love song by Umm Kulthum, the iconic Egyptian singer. Even my father sang! “Oh, my little girls, you reminded me of lovely and beautiful days,” he says. My mother smiles into the book she is reading. Soon, however, the bombing intensifies. Exhausted, my mother tries to catch a little sleep, but to no avail. She is worried about our neighbors, who lost their mother just days ago due to COVID-19. She calls the daughters and chats with them so they won’t be so afraid. But we are all afraid. Still… if the Israeli occupation has taught us anything, it’s how to hide our fears. Panic is contagious. It is a long and tough night. We cannot sleep. Just before dawn, we have our suhur, the meal Muslims eat during Ramadan before starting the day’s fast. This time, it is only dates, some cheese and tea. Because of the bombing, it was not safe to go to the market. We have to buy food daily because the frequent power outages these days make refrigeration difficult. My body is so cold. I don’t know why. The weather is warm, yet I am shivering. Maybe it’s because I am suppressing my worries and fears. I layer on clothes, but it doesn’t bring me comfort. I go to my mother and hug her. I finally feel some peace, although not safe. I put myself to work. First, I rearrange my room so my bed is in the middle – away from any glass that could fly if the windows break. I also open the window and door, to lessen the air pressure and reduce the chance of being hurt by debris. And since I am a fan of the mugs my students give me as gifts, I take them off the shelf so they won’t fall and break. Now maybe my room will ‘survive’. Then I choose movies, music and books that can fill our days if the attacks continue. I also call my friends and arrange to create ‘rooms’ on social media so we can have virtual sleepovers. I also call my sister, who is married and the mother of a lovely newborn boy who has never heard the sounds of bombing before. I want to make sure she and her son, Ibrabim, are ok. At least he is too young to understand what is happening.  Finally, and this is very important, I vow to avoid all pictures and videos of the bombing and dead bodies. This is my way of protecting myself from the bad dreams that haunted me during previous wars.

Mounting death toll as Israel’s war on Gaza escalates - Air strikes have continued to pound the Gaza Strip, killing more than 100 Palestinians, among them at least 27 children, and wounding more than 980 people since the start of hostilities. Israel has struck more than 750 targets associated with Hamas, the Muslim Brotherhood-affiliated group that controls Gaza, since the beginning of Operation Guardian of the Walls. These include buildings used by Hamas, its security and intelligence apparatus, banks, and a Hamas naval squad. It has destroyed three high-rise buildings and killed around 60 Hamas operatives, including 10 senior commanders. Israel’s Minister of Defence Benny Gantz glorified the carnage, saying, “We have attacked many hundreds of targets, towers are falling, factories are collapsing, tunnels are being destroyed and commanders are being assassinated.” He declared that military operations in the Gaza Strip would continue until it brings a “complete and long-term peace.” Threatening the Palestinians in a video, Gantz said, “Gaza will burn.” He reminded them that he was Israel Defence Forces (IDF) chief during Israel’s last war on Gaza in 2014. That war killed 2,192 Palestinians, including 1,523 civilians of whom 519 were children, injured tens of thousands more, and destroyed or damaged thousands of homes and much basic infrastructure. Gantz warned, “If Hamas does not stop its violence, the strike of 2021 will be harder and more painful than that of 2014.” On Thursday, Gantz ordered the called up of 16,000 army reservists and sent ground forces to the border in preparation for “all eventualities and an escalation.” IDF spokesperson Hidai Zilberman said that plans for a ground invasion were being prepared and that the IDF had begun an arrest campaign in the West Bank against Hamas members. At least three Palestinians have been killed in clashes with security forces in the West Bank and a further 27 injured as protesters took to the streets. Gaza’s hospitals, already struggling to cope with the pandemic, are battling to care for the wounded amid a shortage of beds, staff, equipment and blood and problems with the power supply. A Red Crescent coordinator said, “The situation here is very difficult, I can’t describe the horror in words.”

China to partition Mount Everest amid rising coronavirus cases in Nepal -China announced on Sunday that it will partition Mount Everest due to rising COVID-19 cases in Nepal.According to multiple media reports, Beijing, which has expressed concerns about the spread of the coronavirus around the world's highest peak since the first outbreaks in late 2019, plans to create "a line of separation" at the summit to keep climbers from Tibet from mingling with those who ascended the Nepalese side.The New York Times reported that China has only approved 21 permits to climb the mountain this year amid the pandemic. Nepal has already approved a record number of 408 permits to climb Everest, even though several base campers have tested positive for the coronavirus. Head of the Tibet Sports Bureau Nyima Tsering told state news that a group of Chinese nationals is currently on its way to the summit to set up the partition.State news agency Xinhua also reported that China will set checkpoints outside of its base camp where climbers will undergo temperature checks, disinfection and isolation from others.  Nepal on Friday reported 9,023 new cases of the coronavirus, according to CNN, its highest single-day total.

 China Sees Slowest Population Growth In Decades Raising Concerns About Aging Labor Force - A few weeks ago, we reported that China, the world's largest country, reported a shrinking population for the first time in 70+ years, a sign that the global economy might struggle with long-term structural deflation as the population across the developed world shrinks. But according to the latest census data released Tuesday by China's National Bureau of Statistics, China reported only 12 million births last year, the lowest annual reading since 1961, and down 18% from 2019. Looking back at the last 10 years, China's population increased by just 72 million people (between 2010 and 2020)bringing the country's total population to 1.41 billion. That breaks down to an average annual growth rate of just 0.53%, slower than the 0.57% seen in 2010, according to the FT.As analysts studied the data,  Nikkei reported that the declining population growth reflects China's "failure of policies designed to reverse China's falling birth rate. The rate of increase is the lowest since China first conducted a census in 1953. The fastest growth was the 2.09% recorded in the 1982 census." Unsurprisingly, the declining birth rate shows that China's average age has increased substantially, posing a demographic crisis similar to what's being experienced in Japan. People over the age of 65 now make up 13.5% of the population, compared with 8.9% back in 2010, when the previous census data was published. Meanwhile, the working-age population of people aged between 15 and 59 declined to 63.35% from 70.14%.

Modi pledges to “save India from lockdown”—not infection and death --India, home to more than one-sixth of the world’s population, is now engulfed by a health and social catastrophe that was both foreseeable and foreseen. Just in the past five days, India officially recorded 2 million new COVID-19 infections and 20,928 deaths. Since Monday, April 12, India’s COVID-19 cases have risen by 8.99 million, or more than 65 percent, bringing its total infections since the pandemic began to 22.6 million. During the same four-week period, the novel coronavirus killed 75,213 Indians, more people than it has killed in all but 11 countries throughout the entire pandemic. Harrowing as these figures are, they represent a mere fraction of India’s true number of infections and deaths, as is conceded by all but the most inveterate defenders of Prime Minister Narendra Modi and his far-right Bharatiya Janata Party (BJP) government. Union Health Ministry data shows COVID-19 test positivity rates currently running at more than 20 percent in 301 of India’s 718 districts, and more than 30 percent in Delhi, India’s national capital and largest urban agglomeration. The World Health Organization (WHO) has long insisted a positivity rate of 5 percent or higher indicates a serious undercount of infections. Prior to the pandemic, India’s ramshackle, chronically underfunded health care system recorded the medical cause of only a quarter of all deaths, with many deaths in rural India not even registered. Studies and surveys in recent weeks by health experts and journalists have shown that many times more people are being cremated and buried under COVID-19 protocols than are reported in the authorities’ death counts. To cite one example, a daily newspaper in Modi’s home state of Gujarat, Sandesh, has found that just one in 10 COVID-19 deaths in the state’s major urban centers is officially being attributed to the pandemic. In Rajkot, a city of 2 million, the official statistics showed 220 people had died of COVID-19 in the latter half of April. However, during that same period just one of the city’s “seven coronavirus-only” crematoriums handled 673 corpses. Across India and around the world people have been shocked and angered by the media reports of desperately ill people in Delhi, Mumbai and other major cities unable to gain admittance to overwhelmed health care facilities, of scores of patients dying from asphyxiation after their hospital ran out of medical oxygen, and of a burgeoning black market in oxygen cylinders and drugs, like Remdesivir, that are in short supply. In rural India, where two-thirds of the country’s population lives and where public health care facilities are largely non-existent, the catastrophe threatens to be greater still. In 15 rural districts, most or all with a population of a million or more, the COVID-19 test positivity rate is currently higher than 50 percent.

 Dozens of corpses found floating in Ganges as India’s humanitarian crisis deepens - Shocking pictures showing dozens of corpses floating in the Ganges River, published by the Indian media Monday evening, provide yet further evidence of the mounting humanitarian crisis the COVID-19 pandemic has triggered in the world’s second most populous country. India, which has emerged over the past month as the global epicenter of the pandemic, passed the grim milestone of a quarter-million officially registered deaths this week. On Thursday, it added another 4,120 COVID-19 deaths, taking the death toll to 258,317. India currently accounts for half of new COVID-19 cases and 30 percent of new deaths worldwide, according to the World Health Organization. It is widely acknowledged that the official figures are a gross undercount of the true extent of the calamity. One recent estimate put the death toll at 1 million. The country’s total caseload stands at over 23.7 million. As of May 13, India had 3,710,525 active cases. Even so, the far-right Bharatiya Janatha Party (BJP) government continues to deny that India is experiencing “community transmission,” absurdly describing the pandemic as being characterised by “clustered cases.” In truth, Prime Minister Narendra Modi’s policy of prioritising corporate profits over the protection of human lives has produced a situation where the virus is totally out of control. India’s chronically underfunded ramshackle health care system has already collapsed under a surge of patients. In a disturbing video, which was shot at Buxer, a small city in the eastern state of Bihar, Times Now reported over 150 bodies recorded as COVID-19 fatalities were dumped on the banks of the Ganges River. “These COVID bodies will be washed down further and can be eaten by stray dogs which will further spread coronavirus,” the news website added. In a separate case, NDTV reported that on May 9, several partially burnt bodies were seen floating in the Yamuna River, a tributary of the Ganges, at Hamirpur in Himachal Pradesh. A few days later, multiple bodies were found buried in sand at two locations along the same river in Uttar Pradesh’s Unnao district, just 40km from the state capital Lucknow. These horrific stories point to both the criminal failure of the Modi government to deal with the pandemic, and the deliberate undercounting of COVID-19 deaths. According to AFP, residents believe that the bodies were dumped in the river because cremation sites were overwhelmed or because relatives could not afford wood for funeral pyres. These reports point to the emergence of the long-anticipated nightmare that would occur if the virus spread to India’s rural areas, where health care facilities are almost non-existent.

High school students in France protest against holding of final-year exams amid pandemic - Since last Monday, high school students have been mobilising against the Macron government, which wants to proceed with final-year high school exams in classrooms despite the pandemic. The students are demanding the cancellation of the examinations and the certification of high school diplomas via continuous assessment throughout the year. The Macron government has begun the ending of the limited lockdown announced at the end of March, including the reopening of schools over the last two weeks despite the large number of COVID-19 cases each day. These protests are part of an international wave of strikes and demonstrations by youth. The year 2020 saw a wave of mobilisations in Greece and Poland against in-person studies, and a wave of strikes to demand a halt to work in non-essential industries. This movement is continuing and intensifying. Many high schools were blocked last week in France, including in the Paris region, Toulouse, Grenoble, Annecy, Bordeaux and Bayonne. The main entrances to the schools were blocked with fences, rubbish bins and pieces of wood, with students organising on social media. The blockades continue this week, with 200 high schools blocked across France. The government has responded by sending in the police to crack down on the students. In front of a number of high schools, signs read “Continuous examinations” and “Precarity kills.” On Friday, high school students organised protests outside the Charlemagne, Sophie-Germain and Victor-Hugo high schools in Paris. According to actu.fr, “clashes broke out at the Victor-Hugo high school, when the police intervened to remove the students who were blocking the school with bins. Tear gas, shields and truncheons were used to repel the students.”

Pandemic Divergence: The Social and Economic Costs of Covid-19 - According to the IMF´s latest World Economic Outlook (WEO April 2021), the pandemic recession is the deepest since the end of WWII, with a 3.5% output contraction in 2020, which represents a 7% loss relative to the IMF´s 3.4% growth forecast back in October 2019. More importantly, the consequences of the shock will likely be long-lasting. While the medium-term costs are still uncertain and vary significantly across countries, it is safe to say that developing economies will suffer the most. Whereas the IMF projects that the world GDP will be 3% lower in 2024 relative to the no-Covid scenario, the number doubles to 6% for the developing world despite the fact that the shock, as measured by Covid-related deaths, was more muted in low-income economies. In a recent paper (Levy Yeyati and Filippini 2021), we run a preliminary assessment of these long-term costs by countries and regions. The long-term social and economic consequences of Covid-19 are uncertain. This column provides a preliminary assessment of the variation in costs across countries and regions, and suggests that developing economies will suffer the most lasting damage. The pandemic has exposed the differential capacity of governments to mitigate health and economic crises and to allocate scarce resources efficiently, while some labour market structures have inhibited government efforts to attenuate the pandemic’s impact – impediments that will also shape comparative recoveries.

Michel Barnier Calls For 3-5 Year Suspension Of Immigration Into EU --Michel Barnier has called for a 3-5 year suspension of immigration into EU countries, warning that the bloc’s external borders have become a “sieve” for criminals and terrorists.  “I think we have to take the time for three or five years to suspend immigration,” Barnier told French media.The EU’s former Brexit negotiator cited links between between immigration and “terrorist networks that infiltrate migrational flows” as part of his reasoning for calling for the shutdown, while also highlighting the issue of human trafficking networks.The comments are particularly noteworthy because Barnier is known as a centrist – even a globalist in some ways – yet he is spouting rhetoric normally espoused by right-wing politicians.When asked whether the comments contradicted his “moderate” reputation, Barnier responded, “The problems of immigration are not moderate. I know, as the politician that I am, to see the problems how they are and how French people experience them and to find solutions.” However, Barnier made a point of asserting that the controls wouldn’t apply to “refugees,” despite the fact that there have been numerous terror attacks carried out in France and other European countries by refugees.