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’’ ’’ ’’ the TRUMPETweekly ‘‘ ‘‘ ‘‘ ‘‘ ‘‘ suicide PAGE 2 europe PAGE 4 korea PAGE 7 leak PAGE 8 delusion PAGE 10 ’’ A DIGEST OF SIGNIFICANT WORLD NEWS FROM THE PHILADELPHIA TRUMPET STAFF FOR THE WEEK OF MAY 30 - JUNE 5, 2010 ’’ The present situation is so grave that a war may break out at any moment. This monster from the deep grows more horrifying by the day. Pretty soon, Australia could look a lot like California. Politically and economically, Europe is a continent of iron and clay. The blockade is not just perfectly rational, it is perfectly legal. T he terrorists who sponsored the Gaza-bound “humanitarian” mis- sion earlier this week got exactly what they were aiming for: a lethal retaliation from Israel’s navy, followed by a tidal wave of international outrage against Israel. It doesn’t matter that 50 passengers on board the Mavi Marmara were linked to terror groups, or that the “peace activists” attacked Israeli com- mandos with metal rods, broken bottles, knives and stun grenades, or that three of the Turks killed by Israeli commandos actually wanted to die as martyrs, or that investigators discovered bulletproof vests, night vision goggles and gas masks on board the ship. All that matters is that Israel, once again, is the bad guy. French President Nicolas Sarkozy was “profoundly shocked” by the Israeli “military option.” Britain’s new prime minister, David Cameron, said the way Israel re- sponded to the attack was “completely unacceptable.” At the United Nations, the Security Council met for an emergency session to hurriedly pass a resolution condemning Israel’s “use of force” and demanding an investigation. Palestin- ian Authority President Mahmoud Abbas said Israel was responsible for a “massacre.” Iran called for Benjamin Netanyahu to stand trial for his crimes. And Turkey, once regarded as Israel’s closest ally in the Middle East, con- demned Israel’s action and rebuked the United States for not immediately joining the chorus of condemnation. Yet, if Washington’s criticism against Israel seemed muted at first, it got louder as the week wore on. For one, the U.S. refused to veto the UN resolution. Then, according to a report in the New York Times on Thursday, an official close to the Obama administration said Israel needed to employ a new approach on Gaza, calling the current blockade “untenable.” The Gaza embargo, keep in mind, has never prevented humanitarian aid from reaching Palestinians—only weapons from falling into the hands of the genocidal government that controls Gaza. That’s why Israel demanded the “freedom flotilla” to dock at an Israeli port—so that shipments could be offloaded, inspected, and then delivered to the people of Gaza. But by demanding that the blockade be lifted, the inter- national community is basically saying Israel has no right to inspect shipments intended to re-supply Hamas—an untenable arrangement from Israel’s perspective, if ever there was one. Just last week, Fatah head Mahmoud Abbas admitted on Egyptian television that unity between Hamas and Fatah is impossible because Iran has “hijacked” the Palestinian people. By their own admission, Iran has hijacked the Palestin- ian people and yet Israel is somehow expected to clear the way for ships headed to Gaza. It gets worse. Last week, at the United Nations, a U.S. delegation broke a long-standing U.S.-Israeli agreement by voting to en- dorse a UN resolution calling on Israel to join the Nuclear Non-Proliferation Treaty (npt). According to the handshake deal, which had been in place since 1969, Israel agreed not to publicly reveal its nuclear weapons capabilities as long as the United States promised not to pressure Israel to join the npt. According to the Washington Times, as recently as May 2009, President Obama assured Prime Minister Netanyahu that the agreement was still in place. Now, as of last week, it is Israelnot iran—who heads the list of existential threats in the Middle East. Now, it is Israel, the only free democracy in the Middle East, that is singled out as dangerous—not the number-one state sponsor of ter- ror that openly threatens to annihilate the Jewish state. And now, it is Israel that must disarm—not the regime in Tehran, which now has enough uranium for two nuclear bombs. Iran wasn’t even mentioned in the npt resolution. According to the Washington Post, the Iranian delega- tion was so surprised by America’s endorsement of the UN resolution that it asked for the session to be postponed by four hours so that its diplomats could consult with their government in Tehran. These mind-boggling developments, as journalist Yossi Halevi noted in the Wall Street Journal, have many Israelis wondering: “Has the world lost its mind?” In fact, we are living in a world gone mad—one in which there is “a grow- ing sense of empowerment among jihadists, and a growing sense of desperation among Israelis.” This growing sense of empowerment among the jihadists, as we have written before, will result in the emergence of Iran as the preeminent regional power in the Middle East— the biblically-prophesied “king of the south” that will soon clash with the German-led European Union (Daniel 11:40). At the same time, the Bible also foretold the “grow- ing sense of desperation among Israelis”—and it tells us what this will lead to. This latest PR disaster for Israel comes atop a string of defeats and setbacks that have left israel the outcast see OUTCAST page 10 STEPHEN FLURRY COLUMNIST

Transcript of Tw 20100605

’’ ’’ ’’thetrumpetweekly

‘‘ ‘‘ ‘‘‘‘ ‘‘suicide page 2 europe page 4 korea page 7 leak page 8 delusion page 10’’

a digest of significant world news from the PhiladelPhia TrumPeT staff • for the week of may 30 - june 5, 2010

’’the present situation is so grave that a war may

break out at any moment.

this monster from the deep grows more horrifying by the day.

pretty soon, australia could look a lot like california.

politically and economically, europe is a continent of iron and clay.

the blockade is not just perfectly rational, it is

perfectly legal.

The terrorists who sponsored the Gaza-bound “humanitarian” mis-sion earlier this week got exactly

what they were aiming for: a lethal retaliation from Israel’s navy, followed by a tidal wave of international outrage against Israel. It doesn’t matter that 50 passengers on board the Mavi Marmara were linked to terror groups, or that the

“peace activists” attacked Israeli com-mandos with metal rods, broken bottles,

knives and stun grenades, or that three of the Turks killed by Israeli commandos actually wanted to die as martyrs, or that investigators discovered bulletproof vests, night vision goggles and gas masks on board the ship.

All that matters is that Israel, once again, is the bad guy.French President Nicolas Sarkozy was “profoundly

shocked” by the Israeli “military option.” Britain’s new prime minister, David Cameron, said the way Israel re-sponded to the attack was “completely unacceptable.” At the United Nations, the Security Council met for an emergency session to hurriedly pass a resolution condemning Israel’s

“use of force” and demanding an investigation. Palestin-ian Authority President Mahmoud Abbas said Israel was responsible for a “massacre.” Iran called for Benjamin Netanyahu to stand trial for his crimes. And Turkey, once regarded as Israel’s closest ally in the Middle East, con-demned Israel’s action and rebuked the United States for not immediately joining the chorus of condemnation.

Yet, if Washington’s criticism against Israel seemed muted at first, it got louder as the week wore on. For one, the U.S. refused to veto the UN resolution. Then, according to a report in the New York Times on Thursday, an official close to the Obama administration said Israel needed to employ a new approach on Gaza, calling the current blockade “untenable.”

The Gaza embargo, keep in mind, has never prevented humanitarian aid from reaching Palestinians—only weapons from falling into the hands of the genocidal government that controls Gaza. That’s why Israel demanded the “freedom flotilla” to dock at an Israeli port—so that shipments could be offloaded, inspected, and then delivered to the people of Gaza.

But by demanding that the blockade be lifted, the inter-national community is basically saying Israel has no right to inspect shipments intended to re-supply Hamas—an untenable arrangement from Israel’s perspective, if ever there was one. Just last week, Fatah head Mahmoud Abbas

admitted on Egyptian television that unity between Hamas and Fatah is impossible because Iran has “hijacked” the Palestinian people.

By their own admission, Iran has hijacked the Palestin-ian people and yet Israel is somehow expected to clear the way for ships headed to Gaza.

It gets worse.Last week, at the United Nations, a U.S. delegation broke

a long-standing U.S.-Israeli agreement by voting to en-dorse a UN resolution calling on Israel to join the Nuclear Non-Proliferation Treaty (npt). According to the handshake deal, which had been in place since 1969, Israel agreed not to publicly reveal its nuclear weapons capabilities as long as the United States promised not to pressure Israel to join the npt. According to the Washington Times, as recently as May 2009, President Obama assured Prime Minister Netanyahu that the agreement was still in place.

Now, as of last week, it is Israel—not iran—who heads the list of existential threats in the Middle East. Now, it is Israel, the only free democracy in the Middle East, that is singled out as dangerous—not the number-one state sponsor of ter-ror that openly threatens to annihilate the Jewish state. And now, it is Israel that must disarm—not the regime in Tehran, which now has enough uranium for two nuclear bombs.

Iran wasn’t even mentioned in the npt resolution.According to the Washington Post, the Iranian delega-

tion was so surprised by America’s endorsement of the UN resolution that it asked for the session to be postponed by four hours so that its diplomats could consult with their government in Tehran.

These mind-boggling developments, as journalist Yossi Halevi noted in the Wall Street Journal, have many Israelis wondering: “Has the world lost its mind?” In fact, we are living in a world gone mad—one in which there is “a grow-ing sense of empowerment among jihadists, and a growing sense of desperation among Israelis.”

This growing sense of empowerment among the jihadists, as we have written before, will result in the emergence of Iran as the preeminent regional power in the Middle East—the biblically-prophesied “king of the south” that will soon clash with the German-led European Union (Daniel 11:40).

At the same time, the Bible also foretold the “grow-ing sense of desperation among Israelis”—and it tells us what this will lead to. This latest PR disaster for Israel comes atop a string of defeats and setbacks that have left

israel the outcast

see ouTcasT page 10

sTePhen flurrycolumnisT

Middle eastIsraeli Mossad chief Meir Dagan told the Israeli parliament’s Foreign

Affairs and Defense committee on June 1 that strategic ties between Jerusalem and Washington have been slowly changing since the

end of the Cold War. “Bit by bit, Israel is becoming less of a strategic asset for America,” Dagan said. This trend has accelerated as America’s focus in the Middle East has shifted to extricating itself from Iraq and Afghanistan. Washington has taken on a less confrontation approach toward Tehran, recognizing the need for Iran’s cooperation to stabilize both conflict zones. This in turn has affected its relationship with Israel, which sees Iran as an existential threat. The Trumpet has repeatedly warned that the U.S.-Israeli collision course is near, based on a proph-ecy in Zechariah 11:14 and other scriptures.

On Monday, nine “activists” were killed when Israeli Navy commandos boarded the flotilla of Turkish ships bound for the Gaza Strip allegedly to deliver aid. The action drew international condemnation, with countries calling on Israel to lift the sea blockade on Gaza. With details still hazy, the incident quickly turned into a media battle. While world opinion condemned Israel of violence, the less-known facts revealed that activ-ists on board the vessels were armed and waiting to ambush the Israeli commandos when they boarded. American Thinker summarized the incident thus: “… Israeli commandos boarded a flotilla of vessels illegally heading to Gaza for purported ‘humanitarian purposes.’ What followed was quickly labeled by world leaders as a ‘massacre’ as the Israeli soldiers were forced to fire weapons in order to defend themselves from attacks as they boarded the vessel” (June 1). Arab media reported that among the flotilla participants were members of the Muslim Brotherhood from a number of countries, and other “activists” who support armed resistance. It is evident that the flotilla organizers deliberately planned to provoke an Israeli response in order to receive maximum media attention and hurt Israel politically. Though Israel has released the nearly 700 activists, and is not prosecuting any of those who attacked the commandos, interna-tional criticism of its actions continues to grow. Stratfor says calls for sanctions against Israel will come next. The Turkish parliament has called for a review of its ties to Israel, with the Turkish president labeling Israel’s actions a crime against humanity and saying Israeli-Turkish relations will never be the same, according to cnn Türk. Once again, we see Israel iso-lated as it simply attempts to defend its sovereignty and protect its people.

daily news | June 2

obama Told netanyahu: Go Home, don’t explain From Here

In the hubbub surrounding the “battle of the flotilla,” Netanyahu’s quick reversal of his decision to remain in the United States has been largely ignored. It turns out that Obama told him to leave

because he didn’t want Netanyahu to use the White House as a stage on which to present Israel’s side of the story. …

Netanyahu announced immediately after the flotilla news broke that he would remain in North America and would meet with Obama as sched-uled. However, within minutes after media reported Netanyahu would continue with his trip as scheduled, he abruptly announced a change of plan and set off immediately for Israel to “deal with the flotilla crisis.”

Behind the scenes, it was Obama officials who caused the turnabout.

The TrumPeT weekly june 5, 2010 • 2

israel refuses to commit suicidethe world is outraged at Israel’s blockade of Gaza. Turkey denounces its illegality, inhu-manity, barbarity, etc. The usual UN sus-pects, Third World and European, join in. The Obama administration dithers.

But as Leslie Gelb, former president of the Council on Foreign Relations, writes, the blockade is not just perfectly rational, it is perfectly legal. Gaza under Hamas is a self-declared enemy of Israel—a declaration backed up by more than 4,000 rockets fired at Israeli civilian territory. Yet having pledged itself to unceasing belligerency, Hamas claims victimhood when Israel imposes a blockade to prevent Hamas from arming itself with still more rockets.

In World War ii, with full international legality, the United States blockaded Germa-ny and Japan. And during the October 1962 missile crisis, we blockaded (“quarantined”) Cuba. Yet Israel is accused of international criminality for doing precisely what John Kennedy did: impose a naval blockade to prevent a hostile state from acquiring lethal weaponry.

Oh, but weren’t the Gaza-bound ships on a mission of humanitarian relief? No. Other-wise they would have accepted Israel’s offer to bring their supplies to an Israeli port, be inspected for military material and have the rest trucked by Israel into Gaza—as every week 10,000 tons of food, medicine and other humanitarian supplies are sent by Israel to Gaza.

Why was the offer refused? Because, as organizer Greta Berlin admitted, the flotilla was not about humanitarian relief but about breaking the blockade, i.e., ending Israel’s in-spection regime, which would mean unlimit-ed shipping into Gaza and thus the unlimited arming of Hamas.

Israel has already twice intercepted weapons-laden ships from Iran destined for Hezbollah and Gaza. What country would allow that? But even more important, why did Israel even have to resort to blockade? Because, blockade is Israel’s fallback as the world systematically delegitimizes its tradi-tional ways of defending itself—forward and active defense. …

Without forward or active defense, Israel is left with but the most passive and benign of all defenses—a blockade to simply prevent enemy rearmament. Yet, as we speak, this too is headed for international de-legitimization. But, if none of these are permissible, what’s left?

Nothing. The whole point of this relentless international campaign is to deprive Israel of any legitimate form of self-defense.

seaTTle Times, charles krauThammer | June 4

The TrumPeT weekly june 5, 2010 • 3

Globes cites sources in both Jerusalem and Washington who say that Obama officials gave a clear message to Netanyahu’s people: “Don’t come.” … Some sources said that it was precisely the high-profile nature of the visit that scared the Americans. The White House did not wish Obama to be seen sharing the stage with the leader of the country that was under international attack for having “attacked peace activists.”

Netanyahu, for his part, was looking forward to explaining to the world from Washington that the violent activists on the boat in question were

“terror activists” with ties to Hamas and al Qaeda, who attempted to lynch the minimally-armed soldiers as they rappelled down their helicopter.

eu Business | June 2

iran denounces european ‘intolerance’ over Burka

Iran’s Foreign Minister Manouchehr Mottaki on Wednesday de-nounced European “intolerance” towards the Islamic veil, as France and Belgium move towards banning the burka in public. “We think

this is an example of the intolerance that exists in Europe” regarding Muslims, Mottaki told a press conference during a visit to Brussels. …

Last month the French cabinet approved a draft law to ban the Mus-lim full-face veil from public spaces, opening the way for the text to go before parliament in July. Meanwhile in Belgium parliamentary depu-ties have backed a draft law banning the wearing of the Muslim veil in all public places, including on the streets. …

daily news | June 2

iran Getting rid of eurosThe ongoing decline of the European single currency has triggered

a move that could be further detrimental to the euro, according to an Iranian newspaper. Iran’s central bank began the first phase

of sales of roughly €45 billion of its reserves in exchange for dollars, the state-run Jaam-e-Jam newspaper reported on Wednesday, citing unidentified sources.

europeAs europe’s financial crisis persists, Bloomberg reported Friday that

the central banks of the G-20 nations are delaying their withdraw-al of emergency stimulus. The Continent’s debt crisis has shaken

financial markets, and bankers are endeavoring to keep borrowing rates low in an effort not to threaten a European and world economic recovery.

German Defense Minister Karl-Theodor zu Guttenberg said recently that he is debating the issue of conscription. In an effort to cut back military expenditures, Guttenberg is planning to suspend the draft, a German defense official said. The defense minister has called for cutting €1 billion from the budget, 100,000 troops, and some major purchases. Although these indicators seem to show that Germany is moving away from a strong military, the Trumpet predicts that Germany will soon shock the world and build the world’s most powerful military—and use it.

German President Horst Köhler abruptly left office on Monday. Al-

The Mosque at Ground Zero the conservative blogosphere is buzzing with outrage over plans to build a 13-story mosque and Muslim cultural center just a few hundred feet from Ground Zero. As a resident of lower Manhattan, I see it dif-ferently: The center … might yet serve as an excellent test case for tolerance.

Muslim tolerance, that is. That, at least, is how the concept is being adver-tised by Feisal Abdul Rauf, the Kuwaiti-born imam whose brainchild this is. “We see it as a major step toward the Ameri-canization of the Muslim community,” Mr. Rauf told members of the financial district’s community board, which ap-proved the project unanimously less than a week after the attempted Times Square bombing. …

Opponents of the center insist that Mr. Rauf’s image as a moderate is a sham. In the American Thinker, an online maga-zine, Madeleine Brooks reports that in a recent sermon she personally heard Mr. Rauf “deny that Muslims perpetrated 9/11” … . Alyssa Lappen of Pajamas Media website notes that the imam has urged the U.S. to allow “religious communities more leeway to judge among themselves according to their own laws,” which in his case means Shariah law. …

Opponents also argue that building the center so close to Ground Zero is an insult to the memory of the victims of 9/11. Germany has spent six decades in conspicuous and mainly sincere atone-ment for Nazi crimes. But it surely has no plans to showcase the tolerant society it has become by building a cultural center down the road from Auschwitz. Japan is no doubt equally disinclined to finance a Shinto shrine in the vicinity of the Pearl Harbor memorial. …

As a confidence-building measure for those of us who live in the neighborhood, it would help if the pair [Mr. Rauf and his wife] voluntarily answered some ques-tions about the nature of their beliefs. A sampler: Who perpetrated the attacks of 9/11, and what was their religion? Are suicide attacks or other forms of violent jihad acceptable under any circumstanc-es, including against American soldiers in Iraq and Afghanistan? Does Israel have a right to exist as a Jewish state? Do they agree with the State Department’s designation of Hamas and Hezbollah as terrorist organizations? What aspects of Shariah law, if any, do they repudiate? …

wall sTreeT Journal,BreT sTePhens | may 25

The TrumPeT weekly june 5, 2010 • 4

though the role is largely ceremonial, the resignation has shaken up the government, since the coalition of Chancellor Angela Merkel, who helped install him in 2004, is already struggling. Merkel’s coalition has recently lost in Germany’s most populous state and in its upper house of parliament.

TheTrumPeT.com, ron fraser | June 1

Germany—Watch This space

For soMe time, the Trumpet has pointed to the German statesman Edmund Stoiber as being a man to watch when Germany needed a strong leader in a time of crisis. … Chancellor Merkel’s coalition gov-

ernment is fragmented and now in drastic decline only seven months after its installation. Her party deputy, Roland Koch, has resigned from leader-ship of the state of Hesse. Her major coalition partner, the Free Demo-cratic Party, is in disarray, with its popularity at rock bottom. Meanwhile, to add to her own and her government’s woes, Germany’s president, Horst Köhler, has also suddenly resigned following negative press resulting from him simply telling the truth about Germany’s need to secure its overseas interests. The resignation of a German president is unprecedented.

Something is happening in Germany. Something that has potentially earthshaking consequences attached to it. This may well be developing into the major crisis that our editor in chief has predicted will result in the change in leadership in Germany which will bring to the fore the leader who is prophesied to arise in these times as per the great proph-ecy of Daniel 8.

Our readers should know that we have pointed to the unusual combi-nation of powerful Bavarians on the scene in Europe today—Joseph Ratzinger, pope; Baron Karl-Theodor zu Guttenberg, Germany’s minis-ter of defense, a baron of the Holy Roman Empire; and elder statesman Edmund Stoiber.

Predictably, the pope has stayed the course of the massive left-wing media attack launched against him in the pedophilia scandal headlined in the press and mass media earlier this year. … Meanwhile, Guttenberg has continued to work, largely in the shadows, to refine and strengthen Germany’s defense forces at the same time as working with German industrialists to ensure coordination, consolidation and standardiza-tion of the EU’s defense industries. …

As for Edmund Stoiber, he appears to be ripe for selection as a prime candidate for the post of Germany’s president. It would be in his favor that he hails from Germany’s Christian Democratic Union, the Bavarian-based cdu partner in Germany’s coalition government. Should Stoiber be selected for the presidency, one thing is for sure—he would not be restrained from pulling strings behind the scenes of government by the traditionally ceremonial nature of the job!

So there it is. Yet once again we draw attention to three Bavarians of the moment—Joseph Ratzinger, Baron Guttenberg and Edmund Stoiber.

Times | may 30

Greece urged: Give up euroThe center for Economics and Business Research (cebr), a Lon-

don-based consultancy, has warned Greek ministers they will be unable to escape their debt trap without devaluing their own

currency to boost exports. The only way this can happen is if Greece

europe: Where iron and clay uniteMany brilliant analysts are surveying the economic and political pandemonium in Europe and forecast-ing greater disunity on the Continent. Meanwhile the Trumpet, as regular readers know, teaches with clarity and vigor that a globally dominant German-led European superstate is right now being born. Who is right?

Both are! In fact, reconciling these contra-dictory forecasts is simple when we under-stand one of the many specific biblical proph-ecies about end-time events in Europe. This nugget of understanding is in Daniel 2, which is the central prophecy to understanding world history. In this chapter, Daniel recounts a dream that the Chaldean King Nebuchad-nezzar had in the late sixth century b.c. In his dream, Nebuchadnezzar saw a magnificent statue comprised of four distinct parts (each comprised of a different material), and repre-senting four successive empires.

The legs of this image were made of iron and picture the Roman Empire, which, as history books attest, had capitals in both Rome and Constantinople. Complementary prophecies in Daniel 7 and Revelation 13 and 17 show that this fourth empire, the Roman Empire, would exist and dominate in suc-cessive stages, or resurrections. It is the last resurrection of the Roman Empire (or the “Holy” Roman Empire, as it is specifically described in Revelation 17) that the Trumpet forecasts is rising in Europe.

It’s logical that this final resurrection of the Roman Empire would be represented by the feet of the Daniel 2 image. And how are the feet of the image described in Daniel 2:41-43? “And whereas thou sawest the feet and toes, part oF potters’ clay, and part oF iron, the kingdom shall be divided; but there shall be in it of the strength of the iron …. And as the toes of the feet were part of iron, and part of clay, so the kingdom shall be partly strong, and partly broken”.

What a powerfully apt description of Europe today! Politically and economically, Europe is a continent of iron and clay. Some nations, like Germany, are strong and robust. Others, like clay compared to iron, are weak and fragile. And the European Union is a tepid mixture of both iron and clay—making it “partly strong” and “partly broken.”

The Trumpet forecasts the emergence of this short-lived and factitious, yet over-whelmingly powerful—possessing the “strength of iron”—European superstate!

Brad macdonald | columnisT

returns to its own currency.Greek politicians have played down the prospect of abandoning the

euro, which could lead to the break-up of the single currency. Speaking from Athens yesterday, Doug McWilliams, chief executive of the cebr, said: “Leaving the euro would mean the new currency will fall by a minimum of 15 percent. But as the national debt is valued in euros, this would raise the debt from its current level of 120 percent of gdp to 140 percent overnight.

“So part of the package of leaving the euro must be to convert the debt into the new domestic currency unilaterally.” Greece’s departure from the euro would prove disastrous for German and French banks, to which it owes billions of euros.

McWilliams called the move “virtually inevitable” and said other members may follow. “The only question is the timing,” he said. “The other issue is the extent of contagion. Spain would probably be forced to follow suit, and probably Portugal and Italy, though the Italian debt position is less serious.

“Could this be the last weekend of the single currency? Quite possibly, yes.”

eu Business | June 2

europe sets out planned curbs on u.s. rating agencies

Europe set out plans on Wednesday to curb U.S.-based credit rating giants and impose new rules on finance companies so as to rein in risky trading. European Commission chief Jose Manuel Barroso

unveiled the latest round of proposals to regulate the financial services industry with plans that would see centralized, European monitoring of a powerful trio of global rating agencies.

First accused of having underestimated credit risks that led to the global financial crisis in 2008, the agencies have also been partly blamed by debt-laden southern European governments for sparking

“attacks” by speculators. …“Is it normal to have only three relevant actors,” he asked in reference

to Fitch, Moody’s and Standard & Poor’s, “where there is such a great probability of a conflict of interest?

“Is it normal that all come from the same country,” he said, meaning the United States. “(And) is it normal that all are escaping fundamental regulation or supervision when they act in such an important area?

“I think that matter deserves some analysis,” he stressed, adding that the Commission was “considering” the idea of setting up a European rating agency …. According to [the] detailed proposal, rating agency regulation should come under the remit of a new European Securities

and Markets Authority (eMsa) due to be up and running by the start of 2011. …

Legislation coming into effect in December requires the ratings agencies to regis-ter on European soil. But the Commission would now like a pan-European regime to be able to probe the agencies’ books, to summon direc-tors and staff and to carry

The TrumPeT weekly june 5, 2010 • 5

“By using its own economic largesse to set global regulations and define global business practices, the eu is steadily gaining the power to transform the global economy. history offers a powerful lesson we would do well to remember as we watch this trend continue: The nation controlling the world economy possesses the political and strategic power to shape the world.”

—Trumpet, april 2008

spain is Trapped in a ‘perverse spiral’ the eu’s €750 billion “shield” for euro-zone debtors has halted an incipient run on Club Med banks, but it has failed to restore full confidence for the obvious rea-son that such a guarantee cannot plausibly be extended from Greece to Portugal and then to Spain. The sums are too large, the number of solvent creditors too reduced, the intra-eMu politics too poisonous.

Whether intended or not, Mr. Lel-louche [France’s Europe minister] may have pulled the detonation plug on eMu by boasting that Europe’s politicians had created an EU debt union on the sly. “It is expressly forbidden in the treaties. De facto, we have changed the treaty,” he told the Financial Times. How will that go down at Germany’s constitutional court, already facing a growing in-tray of claims that these bail-outs breach the Maastricht treaty?

For Spain it has been a horrible week. The central bank seized CajaSur and imposed draconian write-down rules on banks to restore confidence. The Spanish Socialist and Workers Party (psoe) of Jose Luis Zapatero then rammed a 5 percent cut in public wages through the Cortes by a single vote, shattering consensus. The government cannot hope to pass a budget. Its own trade union base is planning a general strike. …

El Pais spoke of a “perverse spiral” in its editorial. … Spain’s unemployment was already 20.5 percent even before this latest dose of shock therapy. There are 4.6 mil-lion people without work. Dole payments alone account for half the budget deficit. … It is no mystery why Spain is trapped in depression. The country joined the euro without grasping its Faustian implications, as did others.

Germany was equally naive in thinking it could have a currency union entirely on its own terms. eMu caused Spanish interest rates to halve overnight, with dire results as the Bank of Spain’s governor confessed in April 2007. “The single monetary policy has meant that excessively loose condi-tions for our economy have been almost continuous,” he said. …

This can end only in two ways. Either Germany tolerates massive monetary reflation by the ecb or Spain will be forced out of eMu, setting off a catastrophic chain-reaction through north Europe’s banking system.

Your choice, Berlin.

TelegraPh, amBrose evans-PriTchard | may 30

out inspections, including the right to seal files or IT material. Under the proposals, the regulator could also suspend or revoke an agency’s license to operate in the EU or ask the Commission to impose a fine. …

asiaRussian and Euro-

pean Union lead-ers held a sum-

mit in Rostov-on-Don, Russia, on Monday and Tuesday, with econom-ic crisis nudging both sides toward greater economic cooperation. The meeting was the first between Rus-sian President Dmi-try Medvedev and eu President Herman Van Rompuy since the Lisbon Treaty came into force last year. The two par-ties launched a modernization partnership program designed to stream-line and diversify Moscow’s economy, and an agreement giving Moscow easier access to Western knowledge and technology. The summit empha-sized trade and economic issues, and discussions of a new Euro-Atlantic security framework. It also yielded some progress toward establishing vi-sa-free travel between Russia and the EU. Medvedev called the warming relationship a “new form of cooperation with united Europe.” Each party has good cause to be exploring new forms of partnership with the other at this time. The crises-hit EU needs Moscow, which has almost half its currency reserves in euros, to remain invested in the European currency. Meanwhile, Russia wishes to secure its position as Europe’s primary energy source which has been threatened by cheaper prices from Middle Eastern suppliers and the EU’s possible development of shale gas. But is there more behind the budding relations? Germany, the kingpin of the eu, and Russia have a steady history of conflict. They have experi-enced seasons of partnership, like the Treaty of Rapallo of 1922 and the Molotov-Ribbentrop Pact of 1939, but each of these seasons was fleeting, and forged in a prologue to global conflict. History is clear in teaching that Germany and Russia are not comrades, and that any appearance of cooperation between these powers is an omen of conflict on the horizon.

On Wednesday, Japan’s Prime Minister Yukio Hatoyama announced his resignation to members of the Democratic Party of Japan (dpj), which he leads, after he came under fire for failure to follow through on the dpj’s campaign promise to remove a U.S. military base off Okinawa. Hatoya-ma’s ruling coalition was weakened when the Social Democratic Party broke away after his political failure, and his resignation is expected to rejuvenate the dpj ahead of next month’s elections in Japan’s upper legis-lative house. The dpj will remain in power, and Finance Minister Naoto Kan is being widely tipped to become the country’s next prime minister. Although Japan’s geographical, security, and economic constraints make drastic changes in Tokyo difficult for individual politicians to effect, Kan has said he will make a “big and sustained” effort to reduce Okinawa’s burden in hosting the U.S. base. Kan also said “the course we need to take is to maintain a trusting relationship with the United States and at the same time to consider China as equally important. I think that’s the right course for Japan’s future as well” (emphasis ours). On the surface, Hatoyama’s resignation gives Japan the appearance of swinging back toward its U.S. relationship, but the new leader could be key in reorient-ing Tokyo’s foreign policy with the emerging power in Beijing.

The TrumPeT weekly june 5, 2010 • 6

aleXander nemenov/afP/geTTy images

eu commission chief Jose manuel Barroso (c), russian President dmitry medvedev (r) and eu President herman van rompuy (l).

china vs. eu—east Meets West

ron fraser | columnisT

two Massive markets dominate the globe—the European Union and China. Neither can at the moment survive without the other.

In the last decade of the 20th century, Germany powered the European Union into position as the most dominant trading bloc in the world. Then, a few months ago, China just edged the EU off its pinnacle.

Now, these two great markets are be-coming mutually dependent on each other in order to maintain their present growth and economic standards.

China’s view of the ascendancy of the EU was summed up in a strategic policy paper published in 2003. The Telegraph.co.uk reported (Oct. 14, 2003): “The Chinese government said the European Union was transforming the global landscape with its successful new currency and strides toward a joint foreign policy and a defense and judicial union.” The Chinese strategy paper directly challenged U.S. military and space dominance as well, showing an inter-est in building a military partnership with Europe to fill the global security gap that will eventuate as America’s uncontrollable financial woes lead to the inevitable degrad-ing of its military global presence.

The symbiotic relationship between the EU and China that has since developed, added to the relationship of each with Rus-sia, has them in lockstep as leaders of the global economy.

Last week, as the markets were driven with the spurious fear of impending collapse of the eurozone, China came out in overt support of the EU. Wall Street reacted im-mediately with a 2 percent gain in the stock index: “Stocks rocketed higher Thursday af-ter China reassured investors it doesn’t plan to sell the European debt it holds. … China’s show of confidence in Europe let the market resume a climb that stalled late Wednesday ….” (Associated Press, May 27).

This strengthening of relationships between the European Union—in particular its leading power, Germany—and the great Eastern trading bloc led by China, with Russia dancing with both as economic part-ners has powerful prophetic portent. The Germano/Sino/ Russo nexus is destined to have powerful influence in the Middle East and Eurasia in the short term, and, most profoundly, on Anglo-Saxon nations in the very near future.

The TrumPeT weekly june 5, 2010 • 7

isTockPhoTo

BloomBerg | June 3

north korea says War With south korea could Begin ‘any Moment’

A north korean diplomat today said war on the Korean peninsula could begin at any time over accusations that the government in Pyongyang ordered the sinking of a South Korean warship. “The

present situation is so grave that a war may break out at any moment,” Ri Jang Gon, North Korea’s deputy ambassador to United Nations offices in Geneva told a conference on nuclear disarmament there, ac-cording to a text of his remarks provided by the UN.

He said South Korea’s accusation was the “sheer fabrication” of “au-thorities who are in desperate need of creating a shocking incident” to block North Korea’s development. South Korea has blamed North Korea for the March 26 sinking of the Cheonan, which killed 46 sailors. The two nations have traded accusations and threats of military retaliation since an international panel that included experts from the U.S., Australia, the U.K. and Sweden concluded that the North was behind the sinking.

latin aMericaStratFor reports an alleged meeting between representatives of 12

insurance companies last week and a member of the Gulf cartel. The cartel member proposed a “business agreement” between the com-

panies and the cartel in which they would pay a monthly fee to avoid being targeted. As the still-massive flow of drugs through Mexico has been re-stricted by Mexican President Felipe Calderon, crime rings have expanded their “business” into other areas, including kidnapping and extortion.

Cuba and Venezuela may have become much closer than previ-ously realized. According to Associated Press, Cuban officers have “sat in high-level meetings, trained snipers, gained detailed knowledge of communications and advised the military on underground bunkers built to store and conceal weapons” in Venezuela. Venezuelan President Hugo Chavez himself claims the two countries are so close as to be “one single nation.” Retired general Antonio Rivero warns that Cubans could become part of a guerrilla force if Chavez were to be voted out of office.

“They know where our weapons are, they know where our command offic-es are, they know where our vital areas of communications are,” he said. The two countries, both led by outspoken enemies of the Unites States, are definitely drawing closer to each other—and to Iran. The Globalist warns of weekly flights connecting Caracas and Tehran that “while osten-sibly commercial, accept no commercial passengers—and they unload of-ficial passengers and cargo without any immigration or customs controls.” Iranian investments in Latin America currently exceed $20 billion.

anglo-aMericaThe tiMes Online reported last Friday that Britain has produced

“an emasculated generation who can find neither work nor a wife.” The collapse of British manufacturing, combined with the nation’s

gigantic welfare system, has produced unemployed, unmarriageable men. One in seven working-age households are dependent on the state

prescription drug use soaring among u.s. children

prescription drug use among youngsters in the United States is growing at nearly four times the rate as among the overall population. A new report shows that nearly a quarter of insured children and almost one third of adolescents ages 10 to 19 took at least one prescription medicine to treat a chronic condition last year.

The annual drug trend report by big pharmacy benefit manager Medco Health Solutions Inc, issued May 19, revealed that prescriptions marketed to children and teens are the biggest growth factor for the pharma-ceutical industry. Money spent on prescrip-tion drugs for children rose 10.8 percent last year—more than triple the increase among senior citizens.

“Looking at children was the real shocker for us,” Dr. Robert Epstein, Medco’s chief medical officer, said …. The drastic rise in medication use by children is largely due to young people increasingly suffering from adult illnesses.

“What’s surprising is the type of drugs these kids are taking. All these adult drugs are popping up in children, which is really disturbing,” Epstein said. “Children are look-ing like little versions of adults when it comes to chronic illness.”

One trend fueling the increase in medica-tion use is children being prescribed power-ful antipsychotic drugs traditionally given to people diagnosed with schizophrenia. Now, they are commonly prescribed for conditions such as depression or anxiety.

Sadly, our children, the segment of the population that should be healthiest—not to mention establishing the right habits for a healthy adulthood—are becoming more reli-ant on drugs than anyone else Children are being given the so-called quick fix of pills to alleviate their ills rather than helped to make lifestyle, diet and behavioral changes. This gross negligence has become accepted in a society that focuses on treating the symp-tom rather than addressing the cause.

TheTrumPeT.com | June 1

The TrumPeT weekly june 5, 2010 • 8

for half their income. More than one in two single parents get at least half their income from the state.

A seemingly harmless taxi driver in the rural county of Cumbria has killed 12 friends, co-workers and complete strangers. Derrick Bird, 52, had recently become a grandfather. He had an apparently normal upbringing and was liked by neighbors and friends. But on Wednes-day, Bird killed his twin brother and the family lawyer, drove to work and killed friends and colleagues, then drove about, beckoning some victims to his car to shoot them and killing others trimming hedges, carrying shopping bags, passing on bicycles. A dozen died and 25 were wounded. The killing spree that is rocking Britain ended in the woods when Bird killed himself.

The credit rating for British and American-owned BP fell on Thurs-day and was downgraded to a negative watch. BP said this week it has spent $1 billion on the disaster, but some estimates say it could cost up to $37 billion.

The White House is under criticism of run-ning machine politics this week. A week ago, it confirmed that it had offered Democrat Joe Sestak a different job if he would stop running for the Senate and clear the way for its preferred candidate. On Thursday, the ad-ministration admitted that it had done the same thing in a Colorado Senate race, but claimed it did nothing illegal.

The U.S. Treasury Department reported Wednesday that the federal government debt has now topped more than $13 trillion. The figure on Tuesday was up $60 billion from last Friday.

Less than two weeks after U.S. drones killed one of the highest-rank-ing terrorists in Afghanistan, the United Nations has issued a blister-ing report attacking the legal basis for drone operations. The White House has increased the use of drones in the past two years, but the UN criticizes the use of private contractors at the cia to operate the craft in other nations, warning against a “PlayStation” mentality that could spiral out of control if the 40 other countries with drones join in.

herald sun, may 28

TV Hit From u.s. about Quirks of Modern parenting strikes a chord

A quirky tv show featuring a gay couple with an adopted baby has become a hit with Aussies as real-life families of all shapes and sizes replace the traditional household of mum, dad and kids.

U.S. comedy Modern Family, which follows the day-to-day life of three loveable but unconventional families, attracted 1.5 million viewers when it premiered …. Social demographer Bernard Salt linked Modern Family’s popularity to the rise of blended, single-parent and same-sex families in modern Australia. “What’s popular on television simply re-flects the underlying values and demographics of society,” he said.

The conventional nuclear family now accounted for only about 28 per-

uPsTaTenyer/wikiPedia

The administration has admitted to interfering with congressional races to install its favorites.

Why america can’t plug That leakthis Monster from the deep grows more horrifying by the day. As the Gulf grows murkier, the fact that this nightmare represents a curse on America becomes more vividly clear. It’s kill-ing wildlife, it’s choking industries. And it’s ravaging a presidency.

Anger is boiling because of the futility of the response, and no small measure of it is aimed squarely at the highest office in the land. As erstwhile Obama supporter Peggy Noonan wrote, “The disaster in the Gulf may well spell the political end of the president and his administration, and that is no cause for joy. It’s not good to have a president in this position—weakened, polarizing and lacking broad public support—less than halfway through his term. That it is his fault is no comfort. It is not good for the stability of the world, or its safety, that the leader of ‘the indispensable nation’ be so weakened.”

Very true. This monstrosity is ad-vertising the weakness of America’s leadership not only to Americans but also to the world. It is deeply ironic how this mushrooming tragedy is exposing Washington’s powerlessness. As Charles Krauthammer brought out, “Obama is no more responsible for the damage caused by this than Bush was for the damage caused by Katrina. But that’s the nature of American politics and its presidential cult of personality: We expect our presi-dents to play Superman.”

That is a more serious error than most people realize. This hubristic admin-istration has ceaselessly promoted the notion that the solution to every problem is more government. It has taken over the mortgage and insurance industries; it is swallowing the automotive and banking industries; it is federalizing the health-care industry. All told, govern-ment spending now accounts for almost 30 percent of the total U.S. economy. Do people really expect this all to turn out good?

Now, this fallacy that the federal gov-ernment can solve it all, that the presi-dent is Superman, is being torn to shreds by the Gulf oil monster. As the Prophet Jeremiah once wrote, “Thus saith the Lord; Cursed be the man that trusteth in man.” Yes, cursed. So says God.

Joel hilliker | columnisT

The TrumPeT weekly june 5, 2010 • 9

cent of Australian households—down from about 60 percent in the 1960s, he said …. Family expert Rebecca Griffin said tv shows had an important role to play in setting social attitudes and breaking down prejudice. …

BloomBerg | June 2

Buffett expects problem for Municipal debt

Warren buFFett, whose Berkshire Hathaway Inc. has been trim-ming its investment in municipal debt, predicted a “terrible problem” for the bonds in coming years. “There will be a terri-

ble problem and then the question becomes will the federal government help,” Buffett, 79, said today at a hearing of the U.S. Financial Crisis Inquiry Commission in New York. “I don’t know how I would rate them myself. It’s a bet on how the federal government will act over time.”…

Buffett said last month that the U.S. may feel compelled to rescue a state facing default after the government committed $700 billion to bail out financial firms and automakers. … A report by the Pew Center on the States in February estimated that by the end of the 2008 budget years, states had $1 trillion less than needed to pay for future pensions and medical benefits, a gap the center said was likely compounded by losses suffered in the second half of 2008. …

TelegraPh | June 3

Britain Faces Fine after Final Warning From eu

The uk has one of the worse rates of air pollution from cars and factories in Europe. …

But despite repeated warnings from Brussels the Government has failed to cut pollution. The main problem is exhaust fumes and emissions from power stations or factories around London.

The last Government applied for an extension to meeting European air quality standards twice but both requests have been refused. The European Commission has now issued a “final warning” asking the UK to come up with a realistic strategy to clean up air pollution.

If the UK fails to come up with a strategy the case will be referred to the European Court of Justice within a year. The UK could be fined £300 million, which the Local Government Association said will add £15 to the average annual council tax bill. …

Times online | may 28

useless, Jobless Men—The social Blight of our age

The Fear of losing benefits — of not being able to scramble back on to the lifeboat if you fall off — is a huge disincentive to change your circumstances, let alone report them. One in seven working-

Glitch shows How Much u.s. Military relies on Gpsa probleM that rendered as many as 10,000 U.S. military gps receivers use-less for days is a warning to safeguard a system that enemies would love to disrupt, a defense expert says.

The Air Force has not said how many weapons, planes or other systems were affected or whether any were in use in Iraq or Afghanistan. But the problem, blamed on incompatible software, highlights the military’s reliance on the Global Posi-tioning System and the need to protect technology that has become essential for protecting troops, tracking vehicles and targeting weapons.

“Everything that moves uses it,” said John Pike, director of Globalsecurity.org, which tracks military and homeland secu-rity news. “It is so central to the American style of war that you just couldn’t leave home without it.”

The problem occurred when new software was installed in ground control systems for gps satellites on January 11, the Air Force said. …

In a series of e-mails to the Associ-ated Press, the Air Force initially blamed a contractor for defective software in the affected receivers but later said it was a compatibility issue rather than a defect. …

At least 100 U.S. defense systems rely on gps, including aircraft, ships, armored vehicles, bombs and artillery shells. Be-cause gps makes weapons more accurate, the military needs fewer warheads and fewer personnel to take out targets. But a leaner, gps-dependent military becomes dangerously vulnerable if the technology is knocked out. … The Air Force said it took less than two weeks for the military to identify the cause and begin devising and installing a temporary fix. It did not say how long it took to install the temporary fix everywhere it was needed but said a permanent fix is being distributed. …

associaTed Press | June 2

“most of us have heard of the story of achilles, the warrior who was only vulnerable in his heel. america is the greatest superpower this world has ever known. But we have a very vulnerable point in our military—our own achilles heel. … computer dependence is the western world’s achilles heel, and within a few years this weakness could be tested to the full.”

—gerald flurry, Trumpet, January 1995

The TrumPeT weekly june 5, 2010 • 10

it increasingly isolated in the international community: the Gaza war, housing developments in Jerusalem, failed diplomacy with Turkey, a warming Iran-Egypt relationship, a strengthened Hamas and Hezbollah.

The flotilla incident has served to further isolate the Jewish state from its erstwhile ally, America. The Obama administration reportedly even told Prime Minister Netanyahu to return home early from his North American trip instead of visiting Washington as planned, because the Obama administration didn’t want him to use the White House as a stage to present Israel’s side of the story. So much for a visit that was in-tended to help mend the fractured relationship between the two leaders.

The growing desperation of the Jews as they lose their few allies; the peace process that continues to sap their strength; the severed alliance with the U.S. are all prophesied—as is the country Israel will turn to in its desperation. Moreover, as our booklet Jerusalem in Prophecy details, these developments are all leading up to the fulfillment of the greatest prophecy of all.

ouTcasT from page 1

age households is dependent on benefits for more than half its income. More than half of all lone parents depend on the State for at least half their income. William Beveridge would be horrified to discover that the safety net he designed has become a trap, creating generations of worklessness and dwindling self-esteem. It is also creating a glut of unemployed, unwanted, unmarriageable men.

These men were over-looked during a decade of prosperity that did nothing to change their lives. At the beginning of that decade, 5.4 million working-age adults were claiming out-of-work benefits. The same number were still claim-ing just before the reces-

sion struck. Almost a fifth of 16 to 24-year-olds were not in education, employment or training in 1997. The number was identical in 2006. These people stayed put in the Welsh valleys, in Liverpool, in Glasgow, while Eastern Europeans travelled a thousand miles to pick up work on construction sites in London. Immigration reduced the opportuni-ties available to white British men whose poor education made them less attractive candidates, while the benefits system undermined their motivation.

The problem affects the whole of society because of the striking cor-relation between male joblessness and single motherhood, particularly in the old industrial cities. In Liverpool, male unemployment rose from 12 per cent in 1971 to 30 per cent in 2001. In 1971 11 per cent of fami-lies were headed by a single parent; by 2001, 45 per cent were. Similar patterns can be seen in Birmingham, Strathclyde and Newcastle. The epidemic of male joblessness after the collapse of manufacturing in-dustries coincided with an increase in female employment and welfare support to mothers who found that they could manage alone.

Overlooked by society, irrelevant to employers, unwanted by women who can raise families on benefits without their help, the man who has no work or a series of short-term jobs is a problem. Without steady work, he will struggle to acquire a family: unemployed men are less likely to marry or cohabit than employed ones. Without a stable rela-tionship, he is less likely to grow into a good family man and raise good sons. The taxpayer has become the father: one in four mothers is single and more than half live on welfare. A lot of these women describe the real fathers of their children as “useless” or worse. The men have no role.

The Great australian debt delusioniF you live in Australia, you had better find some hear-ing protection: A massive popping noise may be about to shatter the hopes and dreams of millions. A hous-ing bubble of California di-mensions could be about to explode. When it does, it will probably take the whole economy with it.

The Australian Bureau of Statistics just released its House Price Index for March, and it is shocking how much Australia resembles bubbly, pre-bust California. On average, house prices are up an astound-ing 20 percent in each of Australia’s capital cities compared to one year ago. Last year’s $500,000 average fixer-upper in Sydney now costs $600,000. In Melbourne the median house price jumped $116,917 to $549,980. Want to buy in Canberra? Get ready to fork over $495,000.

Property prices in Australia are going berserk. Even remote Darwin saw house prices rise 17.5 percent. The slowest growth was in Brisbane, which by most standards anywhere else in the world was a sizzling 9.1 percent. And remember: These gains are compounded on top of last year’s average 13 percent rise.

With prices so high, how can the aver-age family in Australia afford to buy a home? They can’t. By all realistic measures, Australians cannot afford to buy homes at these prices. Yet, like sheep to a slaughter, buy them they do.

The 6th Annual Demographia Interna-tional Housing Affordability Survey: 2010 ranked 272 housing markets in Australia, New Zealand, Ireland, Canada, the United Kingdom and the United States according to affordability. Of the top 20 most unaf-fordable markets, 12 were in Australia—in-cluding three out of the top five.

ing Direct, Australia’s fifth-largest lender, is marketing these loans with the idea of cre-ating a “mortgage partner for life.” In reality, unless house prices keep going up ad infini-tum, these borrowers will be debt slaves for life. It is “economic idiocy at its finest,” says economic analyst Mike Shedlock. “[H]ome prices do not perpetually go up.” According to Shedlock, “Australia’s enormous housing bubble … exceeds the height of the bubble that long ago burst in the U.S.”

Pretty soon, Australia could look a lot like California: a landscape of broken banks, tent cities, rows of vacant homes and people living in their cars.

roBerT morley | columnisT

“The mighty man, and the man of war, the judge, and the prophet, and the prudent, and the ancient, the captain of fifty, and the honourable man, and the counsellor, and the cunning artificer, and the eloquent orator.”

—isaiah 3:2-3