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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
12/16/2014 10:48:44 PM

Russian ruble sinks sharply despite bank rate hike

Russian ruble still under heavy selling pressure despite big central bank rate hike


Associated Press


MOSCOW (AP) -- The Russian ruble came under intense selling pressure Tuesday, falling at one point by a catastrophic 20 percent to a new historic low despite a massive pre-dawn interest rate hike from Russia's Central Bank. Russian officials were clearly rattled even though state television urged citizens not to panic.

"The situation is critical," Deputy Central Bank chairman Sergei Shvetsov was quoted by Russian news agencies as saying. "We could not have imagined what is happening in our worst dreams."

The Central Bank's surprise decision to raise the interest rate to 17 percent from 10.5 percent in the middle of the night Tuesday appeared to be a desperate attempt to prop up the troubled currency. The ruble has fallen sharply in recent weeks and is down more than 60 percent since January, due to sinking oil prices as well as the impact of Western sanctions imposed over Russia's involvement in Ukraine's crisis.

The ruble's collapse has spurred ordinary Russians to rush out and buy imported products such as fridges and cars, since inflation is making those items more expensive daily. It is also likely to heap pressure on President Vladimir Putin, despite his wide popular support.

The ruble traded at 72 per dollar late Tuesday afternoon — a modest improvement from earlier, when it hit 78.5 to the dollar.

Timothy Ash at London-based Standard Bank described the ruble's fall as "the most incredible currency collapse I think I have ever seen in the 17 years in the market, and 26 years covering Russia."

"There is now a huge credibility gap for Russian policy makers in the eyes of the market," he said, adding the decline is all the more astonishing given Russia's solid foreign currency reserves and the fact that it runs a budget surplus.

Oksana Dmitriyeva, deputy chief of the Fair Russia faction at the Russian Duma, blamed the collapse of the ruble on the Central Bank's "chaotic and unprofessional" policies. She said "the government has no strategy" and whether the ruble withstands the decline "depends on official policies."

The Central Bank's interest rate move Tuesday aimed to encourage currency traders to hold onto their rubles — doing so gives them potentially big returns, certainly in comparison to many other currencies, such as the dollar, where the interest rate returns are near zero percent.

The ruble's decline Tuesday was fueled by some opaque trading on Monday involving Rosneft, a company hard hit by Western sanctions that is run by Putin's close ally Igor Sechin.

Rosneft, Russia's largest oil company, raised 625 billion rubles ($10.9 billion at the time) in bonds Friday at yields below those on equivalent government securities. Central Bank approved the securities to serve as collateral in a Monday ruble auction, meaning bondholders will have access to Central Bank cash.

The disclosure of the bank's movement shook the markets Tuesday because it resembled direct support for a particular company.

Sechin has been pleading for a government bailout to refinance the debts of Rosneft, which was slapped with Western sanctions and has been cut off from Western debt markets.

The company, however, denied allegations that it was dumping rubles because of the economic situation, saying it was selling "exclusively for attracting financing for its projects in Russia." It pledged that "not a single ruble... will be used to buy foreign currency."

State television, meanwhile, insisted a weak ruble is actually good for the economy because it will stimulate domestic production and make exports cheaper.

Central Bank chairwoman Elvira Nabiullina said the rate hike should stem inflation — higher borrowing costs effectively choke economic activity, dampening down price pressures. However, she conceded that the ruble's value will not be immediately influenced by the rate hike and added that it will take the ruble "some time" before it finds a fair value.

Other options available to the Russian authorities to stem the selling tide of rubles could be imposing capital controls or actual intervention in the markets — buying rubles, for example. The Central Bank has intervened directly in the past few months.

Higher interest rates may eventually help the ruble, but it's likely to cause much hardship in an economy that's already heading for recession. Russian stocks were solid Tuesday, though, with the MICEX benchmark 2 percent up late afternoon.

Neil Shearing, chief economist for emerging markets at London-based Capital Economics, said the Central Bank rate hike will cause "a further tightening of credit conditions for households and businesses and a deeper downturn in the real economy in 2015."

Given Russia's huge dependence on oil revenues, the recent sharp falls in the price of oil have hit the Russian economy hard. That's exacerbated by the fact that the Russian economy isn't diversified enough to withstand the shock.

The average price of a barrel of oil has dropped below $56 from a summer high of $107. The government recently downgraded its forecast for next year, predicting that the economy will sink into recession. Most international forecasters think the Russian economy is set to contract next year.

Alexei Kudrin, Russia's finance minister in 2000-2011, said on Twitter following the rate hike that "the fall of the ruble and the stock market is not just a reaction to low oil prices and the sanctions but also (a show of) distrust to economic policies of the government."

Kudrin added the rate hike "should be followed by government measures to raise investor confidence in the Russian economy." He did not say what steps he advocated.


"Choose a job you love and you will not have to work a day in your life" (Confucius)

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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
12/16/2014 11:34:06 PM

Nearly 200 dead as Syria bases lost to Qaeda: monitor

AFP


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Around 100 Syrian Soldiers, 80 Jihadists Killed in Battle for Wadi Al-Deif Base: Monitor


Beirut (AFP) - Nearly 200 combatants on both sides were killed in 24 hours when the Syrian branch of Al-Qaeda took two regime bases in Idlib province, a monitoring group said on Tuesday.

The Syrian Observatory for Human Rights, which is based in Britain but gleans its information from a wide network of activists and medics on the ground, said Al-Nusra Front attackers also captured more than 100 regime soldiers.

"There were at least 100 dead on the regime side and 80 among the attackers, killed in clashes, bombardments and by mines," Observatory chief Rami Abdel Rahman said.

Then on Tuesday, the air force kept up its raids against the Maaret al-Numan area near the two bases, killing at least 10 civilians, said the Observatory.

The jihadists and their allies took at least 120 soldiers prisoner, while another 100 fled south towards the town of Morek in the neighbouring province of Hama.

A video distributed by the Observatory shows five of the captured soldiers kneeling on the floor of a room, stripped down to their underwear and with their hands tied behind their backs.

The captors kick the men in the face and on their heads, slap them, and then one man whips them mercilessly with a hose as one of the soldiers cries out in pain.

Seizing the key Wadi al-Deif and Hamidiyeh military posts on Monday gave the jihadists control of most of the northwestern province, in a major blow to President Bashar al-Assad's regime.

The jihadists advanced on the bases in coordination with Islamist rebel groups Ahrar al-Sham and Jund al-Aqsa, the Observatory said, adding that a string of villages in the area also fell.

It was also another defeat for Western-backed rebels who were driven out of most of Idlib last month by Al-Nusra Front fighters.

Idlib was among the first provinces to fall, soon after the March 2011 outbreak of the armed revolt against Assad's rule.

- Ceasefire negotiator killed -

Elsewhere in the war-torn country, regime warplanes hit the besieged district of Waer in the central city of Homs, killing at least 13 civilians, said the Observatory.

Among the casualties was a member of a delegation that had been in talks for a ceasefire with the government, as well as his wife.

Waer is the last rebel-held area of Homs, which as once known as the "capital of the revolution" against Assad.

Talks have been underway for months on a potential ceasefire between regime and rebel forces, but they have so far been fruitless.

The conflict began as a pro-democracy movement demanding his ouster, but later evolved into a brutal war after the regime unleashed a massive crackdown.

More than 200,000 people have been killed in nearly four years, and around half the population has been forced to flee.





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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
12/17/2014 12:45:09 AM

2 bombers kill 26 including 16 students in Yemen

Associated Press

Smoke rises from the site of a car bomb explosion in Radda town,100 miles (160 kilometers) south of the capital Sanaa, Yemen, Tuesday, Dec. 16, 2014. Two suicide car bombers rammed their vehicles into a Shiite rebels’ checkpoint and a house south of the Yemeni capital Tuesday, as a school bus traveling nearby killing at least 25 dead including at least 15 primary school students, Defense Ministry, rebels and witnesses. (AP Photo)


SANAA, Yemen (AP) — Two suicide car bombers rammed their vehicles into a Shiite rebels' checkpoint and a house south of the Yemeni capital Tuesday as a school bus was traveling nearby, killing at least 26 people including at least 16 primary school students, according to the Yemeni government, rebels and witnesses.

Witnesses said that the first car was loaded with potatoes apparently disguising explosives underneath. When the car bomber arrived at the checkpoint manned by rebels, he blew up the vehicle as the students' bus was passing. After the first explosion, a second car targeted the home of a Shiite rebel leader, Abdullah Idris.

State TV quoted the country's Supreme Security Committee — Yemen's highest security body — as saying that at least 26 including 16 students and 10 civilians were killed in the twin bombings.

Witnesses at the site of the attack said that the rebels brought four pickup trucks and dumped dozens of bodies into them while several ambulances rushed to the scene to carry away the wounded. Body parts littered the street along with open bags of potatoes.

The Shiite rebels, known as the Houthis, blamed al-Qaida for the attack in the Radaa area of Baydah province, calling it "the ugliest crime against childhood." The group said the school bus was carrying female primary school students.

The witnesses spoke on condition of anonymity for fear retribution.

This is the second time Idris's house has been targeted since October. The Houthis and al-Qaida have been fighting in Radaa since the rebels overran the area in October.

The empowered Shiite rebels have made significant military advances in recent months, seizing control of the capital and other strategic cities.

Yemen has been gripped by a power struggle between President Abed Rabbo Mansour Hadi and the Houthis, who have allied with his predecessor, ousted President Ali Abdullah Saleh. On Tuesday, Saleh loyalists, who form the majority of parliament, derailed a vote of confidence on the new government's program. A raucous session Tuesday came to an abrupt end before a vote, after Saleh loyalists bickered over internal party politics.

They accuse Hadi of backing U.N. sanctions against Saleh and two top rebel leaders, and have called on the government to explicitly denounce the sanctions.

Also Tuesday, Shiite rebel gunmen, who seized control of Sanaa in September, surrounded the ministry of defense and packed the city's nearby streets, preventing the minister from accessing his office. A day earlier, the minister had kicked out the rebels from around the ministry for blocking his chief of staff from entering.

Later, Hadi drove to the ministry, effectively ending the siege.

Related Video:

Suicide attack kills 6



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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
12/17/2014 10:00:18 AM

Pakistan mourns 142 slain in Taliban school attack

Associated Press

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PESHAWAR, Pakistan (AP) — Pakistanis mourned as mass funerals got underway Wednesday for 142 people, most of them children, killed the day before in a massacre by the Taliban at a military-run school in the country's troubled northwest.

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Prayer vigils were held across the nation and in other schools, students spoke of their shock at the carnage in the city of Peshawar, where seven Taliban gunmen, explosives strapped to their bodies, scaled a back wall using a ladder to get into the Army Public School and College in the morning hours on Tuesday.

Students were gunned down and some of the female teachers were burned alive. The attack was the deadliest slaughter of innocents in the country and horrified a nation already weary of unending terrorist assaults. Army commandos fought the Taliban in a day-long battle until the school was cleared and the attackers dead.

The school was a scene of heart-wrenching devastation as media were allowed in for the first time Wednesday. Blood pooled on the floor and the stairs, amid broken window glass and door frames. Torn notebooks, pieces of clothing and children's shoes were scattered about. A pair of child's eyeglasses lay broken on the ground.

After the attackers entered the school, they made their way into the main auditorium where many students had gathered for an event, military spokesman Maj. Gen. Asim Bajwa told reporters during the tour. The militants then made their way to the hall's stage and started shooting at random.

As students tried to flee for the doors, they were gunned down. The military later recovered about 100 bodies from the auditorium alone, according to the spokesman.

"This is not a human act," Bajwa said. "This is a national tragedy."

The government declared a three-day mourning period, starting Wednesday. Overnight, the body of the school principal, Tahira Qazi, was found among the debris from the rampage. Her death raised further the earlier reported death toll of 141.

Qazi, who was inside her office when the militants made their way into the administration building 20 meters (yards) from the auditorium, had ran and locked herself into the bathroom but the attackers threw a grenade inside, through a vent, and killed her. Bajwa said.

Some of the funerals were held overnight, but most of the 132 children and 10 school staff members killed in the attack were to be buried Wednesday. Another 121 students and three staff members were wounded.

"They finished in minutes what I had lived my whole life for, my son," said laborer Akhtar Hussain, tears streaming down his face as he buried his 14-year-old, Fahad. He said he had worked for years in Dubai to earn a livelihood for his children.

"That innocent one is now gone in the grave, and I can't wait to join him, I can't live anymore," he wailed, banging his fists against his head.

The Taliban said the attack was revenge for a military offensive against their safe havens in the northwest, along the border with Afghanistan, which began in June. Analysts said the school siege showed that even diminished, the militant group still could inflict horrific carnage.

The attack drew swift condemnation from around the world. President Barack Obama said the "terrorists have once again showed their depravity."

Pakistan's teenage Nobel Peace laureate Malala Yousafzai — herself a survivor of a Taliban shooting — said she was "heartbroken" by the bloodshed.

Even Taliban militants in neighboring Afghanistan decried the killing spree, calling it "un-Islamic."

Pakistani Prime Minister Nawaz Sharif pledged to step up the campaign that — along with U.S. drone strikes — has targeted the militants.

"We must not forget these scenes," Sharif said Wednesday at a top-level meeting in Peshawar. "The way they left bullet holes in the bodies of innocent kids, the way they tore apart their faces with bullets."

Sharif said he spoke to Afghan President Ashraf Ghani late Tuesday to discuss how both countries could do more to fight terrorism. The two agreed to launch fresh operations on their respective sides of the border, he said, and pledged to "clean this region from terrorism."

In neighboring India, which has long accused Pakistan of supporting anti-India guerrillas, schools on Wednesday observed two minutes of silence for the Peshawar victims at the urging of Prime Minister Narendra Modi, who called the attack "a senseless act of unspeakable brutality."

In an email on Wednesday, the Pakistani Taliban spokesman Mohammad Khurasani claimed the attack was justified because the Pakistani army has allegedly long been killing innocent children and families of their fighters.

He vowed more such militant attacks and told Pakistani civilians to detach themselves from all military institution.

___

Associated Press writers Munir Ahmed in Peshawar, Ishtiaq Mahsud in Dera Ismail Khan, Asif Shahzad in Islamabad and Tim Sullivan in New Delhi contributed to this report.








The nation begins burying the 142 victims, most of them children, of the Taliban school attack.
Outrage around the world



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Luis Miguel Goitizolo

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RE: ARE WE NOW IN THE END TIMES?
12/17/2014 10:13:35 AM

Nobel prize winner Malala 'heartbroken' by Pakistan school attack

Reuters


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Malala Yousafzai on deadly Pakistan school attack: "We will never be defeated"

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LONDON (Reuters) - Pakistani teenager Malala Yousafzai, joint winner of this year's Nobel peace prize for her education campaign work, said she was heartbroken by the news that at least 126 people, mostly children, had been killed in a Taliban attack on a school in northwest Pakistan on Tuesday.

Malala, 17, was shot in the head on a school bus by the Taliban in 2012 and won global acclaim for her passionate advocacy of women's right to education.

"I am heartbroken by this senseless and cold-blooded act of terror in Peshawar that is unfolding before us," Malala, who now lives in central England, said in a statement.

"Innocent children in their school have no place in horror such as this. I condemn these atrocious and cowardly acts and stand united with the government and armed forces of Pakistan whose efforts so far to address this horrific event are commendable."

A Taliban spokesman said the hardline Islamist movement was responsible for Tuesday's attack when gunmen stormed the school in Peshawar, saying it was in response to a major army operation against the insurgents in the tribal areas.

"I, along with millions of others around the world, mourn these children, my brothers and sisters - but we will never be defeated," Malala said.

(Reporting by Michael Holden; editing by Stephen Addison)





"Choose a job you love and you will not have to work a day in your life" (Confucius)

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