Thursday, March 21, 2019

Israel Arming at Least Seven Syrian Rebel Groups

by Jason Ditz, Anti War:

Israel’s mounting interest in Syria’s War, and in particular in picking fights with the Assad government, Iran, and any other Shi’ite factions in the country, have included reports by analysts of a growing amount of Israeli arms and ammunition flowing across the border for rebels.

Syria puts Israeli arms seized from rebels on display

Officially, Israel isn’t a big fan on Sunni Islamist organizations. Such groups are the bulk of the rebellion on the Golan frontier, and that’s made them groups Israel has a very serious interest in seeing survive and thrive on the border.

Analysts say Israel is directly arming at least seven groups in the area. To be clear, no specific factions are named in any of these reports, but past reports have put Israel on the side of some very unfashionable groups, like al-Qaeda’s Nusra Front, which have been active in the area for some time.

Israeli officials have been very public in the past saying they prefer ISIS over the Alawite government in Syria. Expressing such a preference and arming terrorists are two different things, and Israel’s effort to step up arming for Islamist groups risks regional blowback.

Read More @ AntiWar.com

CNN IS DIRECTLY LOBBYING YOUTUBE TO SHUT DOWN INFOWARS

by Paul Joseph Watson, Infowars:

News network flags Infowars videos about Parkland shooting in bid to get channel terminated

CNN is now directly lobbying for YouTube to terminate Infowars from its platform entirely, with the news network brazenly admitting as much in an article published today.

The piece, entitled, How the Florida school shooting conspiracies sprouted and spread, notes how an Infowars video questioning whether Parkland school shooting survivor and now anti-gun activist David Hogg was being coached on what to say during interviews was removed by YouTube.

CNN then relates how it “identified three similar YouTube videos from InfoWars” which were brought to YouTube’s attention for potential removal. A YouTube spokesperson responded that those videos were also now under review.

CNN then openly acknowledges that the goal behind this lobbying effort is to have the Infowars YouTube channel permanently terminated.

YouTube’s community guidelines say if an account receives more than three strikes in three months, the account will be terminated. A source with knowledge of InfoWars’ account says all YouTube accounts, including InfoWars’, are subject to the community guidelines.

The source goes on to tell CNN that InfoWars’ YouTube account did receive a “strike” for the video that was removed on Wednesday.

The community guidelines say if the account receives one more strike in a three-month period, the account will not be able to post new content for two weeks. If the account receives two more strikes in three months, the account will be terminated.

In other words, CNN, a news organization, is now actively lobbying for a third party hosting platform to censor and shut down another news organization simply for offering a different perspective.

CNN subsequently devoted an entire article to the lobbying effort entitled InfoWars is two strikes away from being banned from YouTube.

This is the culmination of almost a year of media-driven moral panic concerning YouTube.

Having lost the political argument, the legacy media is now turning to censorship in an attempt to silence alternative and competing voices.

As we reported earlier this month, Robert Thompson, CEO of News Corp., the publishing arm of Rupert Murdoch’s media empire, brazenly admitted that big corporations are pushing for the likes of Google and Facebook to censor alternative media outlets so that News Corp-owned publications can make more money.

Read More @ Infowars.com

This ‘Matrix-Shattering Event’ Would Lead To ‘The Great Awakening’ – Is President Trump Preparing To Take Down The ‘Clinton Crime Family’?

by Stefan Stanford, All News Pipeline:

– If Hillary Is Arrested, Will Left Riot Violently In Streets Across America?

In this February 18th story over at the Daily Mail which Steve Quayle linked to on his website Monday they report a former pro wrestler has admitted to his role in the unsolved train track murders of two boys way back in 1987. 

Claiming that the deaths of Kevin Ives and Don Henry were linked to a cocaine smuggling ring and that the information he knows implicates a ‘criminal Arkansas politician’, the claims made by former WWE star Billy Jack Haynes were quickly labeled the ravings of a madman by the ‘Clinton echo chamber’. With Haynes story not even touched by the rest of the mainstream media despite the fact that the Daily Mail story didn’t even mention Bill or Hillary Clinton, that connection was left to the story commenters who quickly ‘piled on’ the ‘Clinton crime family’. The fact that this story even made it to the Daily Mail is stunning. A hint of things to come?  

While the deaths of Ives and Henry were first called a double suicide by the state of Arkansas medical examiner, a grand jury was brought up and found the deaths were likely the result of homicides instead and as the DM story reports, Haynes alleges that a far-reaching coverup orchestrated by that unnamed ‘criminal politician’ has been ongoing for the 30+ years since.

Is it just a coincidence that the governor of Arkansas in 1987 was Bill Clinton, where he was governor from 1983 to 1992? 

While of course the Clinton’s as a ‘crime family’ will never be covered by the mainstream media which has been helping them cover up their treason and corruption ever since, the very real ‘matrix’ that we’ve been living within as Americans for several decades may be about to be shattered and it’s clear by this new story over at Yahoo News which the Drudge Report linked to on Monday that the globalists will do everything in their power to stop this ‘great awakening’ as heard in the 1st video below from the American Intelligence Media youtube channel.

As Yahoo news reports, a new online game being launched on Tuesday which they claim “is aimed at inoculating people against the spread of so-called fake news” attempts to do so by allowing players of the game to become their own ‘fake news tycoons’. Actually encouraging these ‘players’ to create falsehoods and grow an army of followers who are also pushing their contrived fake news, it’s long been known that satan himself is the father of lies and anybody intentionally pushing lies or ‘fake news’ is doing his handiwork. How many of these ‘fake news’ stories will actually make it into cyberspace and go viral? From the Yahoo story.:

The exercise encourages participants, who are tasked with building audiences for their imaginary fake news sites, to stoke fear, anger and mistrust by simulating the manipulation of online content.

In the game they choose polarising falsehoods to publish, cultivate an army of Twitter bots, fabricate evidence, and propagate dubious articles and conspiracy theories. 

“If you know what it is like to walk in the shoes of someone who is actively trying to deceive you, it should increase your ability to spot and resist the techniques of deceit,” said Sander Van Der Linden, director of the university’s Social Decision-Making Lab.

If you too noticed the ‘vaccine symoblism’ being used, it’s not by accident as the Yahoo story goes on to report

“We want to help grow ‘mental antibodies’ that can provide some immunity against the rapid spread of misinformation,” she added. The psychological theory behind the effort is called “inoculation”. 

Researchers at Cambridge last year found that briefly exposing people to tactics used by fake news producers can act as a “psychological vaccine” against bogus anti-science campaigns. 

A pilot study conducted with teenagers in a Dutch high school used an early paper-and-pen trial of the online game, and showed the perceived “reliability” of fake news to be diminished in teens that played compared to a control group. 

“A biological vaccine administers a small dose of the disease to build immunity,” said Van Der Linden. 

“Similarly, inoculation theory suggests that exposure to a weak or demystified version of an argument makes it easier to refute when confronted with more persuasive claims.”

As Susan Duclos recently mentioned to me, it was way back in the 1980’s that then CIA head William Casey stated “We’ll Know Our Disinformation Program Is Complete When Everything the American Public Believes Is False”, a reality we’re quickly moving towards with the msm still running cover for the ‘Clinton crime family’ with any attempts to report upon their corruption called ‘conspiracy theory’. 

And as one commenter mentions on the Yahoo story, “Exactly what are these people calling “fake news”? Progressives act like anything they don’t agree with is fake news, while they fabricate smear stories intended to publicly destroy their conservative political opponents.” With websites like Snopes gatekeeping truth by calling the ‘Clinton body count’ a ‘conspiracy theory’ and no msm outlets investigating the still growing list of dead bodies piling up surrounding them, we see why lots of fake news online could help keep the American sheeple totally dumbed down to the truth. 

And with the msm still attempting to brainwash people, creating a ‘pseudo-reality’ as Susan Duclos reported Monday in this story on ANP, and now this ‘game’ coming out which encourages people to create ‘conspiracy theories’ and ‘fake news’ and pump it out into cyberspace further helping to distort reality, it’s easy to see how we’re zeroing in upon what Casey long ago warned of.

Read More @ AllNewsPipeline.com

Steve St. Angelo – It’s All About Energy

by Kerry Lutz, Financial Survival Network:

We’re doomed! So says our good friend Steve St. Angelo. The return on energy invested (eroi) is going down to crisis levels. This will result in a future crisis and this is what assures the ultimate value of gold and silver. That’s why there’s so much debt holding up the edifice of the economy. Once the debt goes, everything goes with it.

Click HERE to listen

Read More @ FinancialSurvivalNetwork.com

Shooting Survivor Quit CNN Town Hall After Refusing to Ask ‘Scripted’ Question

by Joel B. Pollak, Breitbart:

Colton Haab, a student who survived last week’s mass shooting at Marjory Stoneman Douglas High School in Parkland, Florida, refused to participate in a CNN Town Hall on Wednesday night after he was told to ask a “scripted” question.

Haab, a junior at the high school, told Fort Lauderdale ABC affiliate WPLG that CNN invited him to speak at the televised town hall in nearby Sunrise, Florida, and that he and his parents had dressed up for the occasion.

But CNN then told Haab he would have to read a question that CNN had prepared for him:

Haab: I expected to be able to ask my questions and give my opinion on my questions.

Reporter Janine Stanwood: But Colton Haab, a member of the Junior ROTC, who shielded classmates in the midst of terror, says he did not get to share his experience.

Haab: CNN had originally asked me to write a speech and questions, and it ended up being all scripted.

Stanwood: Colton wrote questions about school safety, suggested using veterans as armed school security guards, but claims CNN wanted him to ask a scripted question instead. So he decided not to go.

Haab: I don’t think that it’s going to get anything accomplished. It’s not going to ask the true questions that all the parents and teachers and students have.

The town hall was overwhelmingly stacked in favor of gun control. Two students whom CNN chose to ask questions attacked National Rifle Association spokesperson Dana Loesch as a bad mother. CNN’s Jake Tapper, who moderated the event, did not defend Loesch.

Read More @ Breitbart.com

America’s elite thinks it has a divine right to rule the world

by Bryan MacDonald, RT:

America’s ruling class has a curious attitude to democracy. It seems to be interpreted as something that’s good for the US and its allies but bad for critters who won’t accept their role in the ‘America-led international order.’

First off, let me be clear. I think all foreign electoral interference is wrong. In any country. And if it’s eventually proven that Russians meddled in America’s 2016 presidential election, I certainly won’t condone it. But I’ve have always doubted that the Russian state organized some heinous plan to tilt the contest to Donald Trump, so I’ll be shocked if something of this nature is ever proven.

Instead, I’ve always imagined the greatest extent of Russian ‘interference’ was probably some half-baked playing around by private individuals. Something akin to a “social media marketing campaign,” as the New Yorker’s Adrian Chan believes. And on a relatively minute scale, to boot. Because – given the billions of dollars swirling around American stumping – anything bar a full-scale FSB/GRU, all-hands-on-deck operation would probably amount to little more than a hill of beans.

By the same token, I was stunned back in 2011 when the Moscow Times (a pro-US title, overwhelmingly written by Westerners, despite its name) reported how ex-vice president Joe Biden had told fringe Russian opposition figures that “it would be better for Russia if Putin did not run” in the 2012 election. Indeed, when you see the opprobrium directed today towards US Green leader Jill Stein for once attending an RT banquet where Putin was present, its shows one hell of a double standard.

Distant View

Being relatively new to Russia in those days, and far from Moscow, it also seemed bizarre when then Secretary of State Hillary Clinton called for a “full investigation” of alleged irregularities in 2011’s parliamentary elections. And, even more absurd, that she did it in front of Sergei Lavrov, Russia’s foreign minister, at an OSCE meeting attended by 56 countries. Indeed, it seemed like a teacher wagging her finger at an errant student in front of his classmates, and not how you’d interact with the emissary of a powerful country.

At the time, something interesting happened. Many of my then-relatively new Russian friends had expressed concern about the vote, and a good few supported calls for a fresh ballot. However, once Clinton stuck her oar in, their anger switched to the American; with the attitude quickly transforming into outrage at her arrogance in trying to tell Russians how to manage their internal affairs. Last night, I reminded one of them, Vova, and he said: “Yeah, what did she think? That we were one of those sh*tty little countries the Americans can just push around?” This morning, he emailed me joking, “You know very well, I am not a huge fan of Putin but as soon as Hillary started that nonsense, it smelled to me of the Yeltsin years. I’d rather eat rats than go through that again.”

And this brings us to 1996. Back then, Russia’s economy was in serious trouble. American-backed neoliberal economic reforms had reduced ordinary Russians to penury. And Washington turned a blind eye when Yeltsin essentially dismantled the country’s nascent democracy in 1993, going so far as to take over the parliament in a tank battle, killing 187 people. He also banned opposition parties and newspapers. Of course, somewhat amazingly, Yeltsin is remembered as a “democrat” in the West – which is actually code for “he defended American interests.”

Anyway, by the spring of 1996, Yeltsin was in serious bother. The Communist Party, which had combusted in 1991, was back in business, with its new leader, Gennady Zyuganov, well ahead in the polls. And at this point, Uncle Sam got busy, in events which have been widely  catalogued and even spawned a Hollywood movie, with the tagline  “electing a Russian president, the American way.”

Read More @ RT.com

DHS TO PUBLISH PROOF OF MASSIVE DEM VOTER FRAUD IN 2016 – QANON

by Jerome Corsi, Infowars:

Reported: several million illegals voted, while legitimate ballots were thrown away

WASHINGTON, D.C. – The Director of National Intelligence (DNI) together with the Department of Homeland Security (DHS) and the FBI are planning to publish in March a study of the 2016 elections that will demonstrate massive Democratic Party voter fraud of a magnitude sufficient to have influenced election outcomes.

On Jan. 3, 2018, President Trump signed an executive order disbanding the Presidential Advisory Commission on Election Integrity, largely because states controlled by the Democrats refused to cooperate.

Many Democrats breathed a sigh of relief, thinking President Trump had given up his effort to uncover and correct the decades of Democratic Party voter fraud.

Little noticed was a provision in the executive order that tasked the Department of Homeland Security to review the presidential commission’s initial findings and to determine next courses of action.

Equally unnoticed by the mainstream media were news releases on Feb. 15 from the DNI and from DHS that briefings were being held with election officials in all 50 states on Feb. 16 and Feb. 18 to inform them of the initial conclusions of their on-going investigation into voting fraud during the 2016 election.

The outcomes of the DNI, DHS, and FBI investigations are expected to be disastrous for the Democratic Party, revealing precisely why Democratic-controlled states refused to cooperate with Trump’s presidential commission.

When Special Counsel Robert Mueller indicated last Friday some 13 Russians for trolling the Internet as the only evidence of “Russian Collusion” he could find after months of investigation that spent millions of dollars in taxpayer funds, the intelligence operative known as QAnon posted a preview of the DNI, DHS, and FBI conclusions.

As seen in this Internet posting, QAnon first cites Deputy Attorney General Rob Rosenstein’s statement in announcing the indictment involving the 13 Russian trolls that: “There is no allegation in this indictment that any American was a knowing participant in this illegal activity.  There is no allegation in the indictment that the charged conduct altered the outcome of the 2016 election.”

That comes close to sounding the death knell for the “Russian Collusion” mainstream media hysteria we have endured since the 2016 election as a Democratic Party “hate-Trump” narrative for impeachment.

Next, QAnon makes clear the DNI, DHS, and FBI study will prove massive Democratic Party voter fraud, including the allowing of several millions of illegal immigrants to vote in direct contradiction of voting laws across the country.

QAnon wrote the following, apparently citing the DNI, DHS, and FBI study to be released next month:

In an effort to preserve the integrity of all U.S. elections, as ordered by the President of the United States, after an extensive investigation in select counties (the ‘sampling’), the DHS has concluded that while Russian entities (as outlined in Special Counselor Mueller’s investigation were complicit in attempting to undermine the presidential election of 2016) had no direct impact or bearing on the outcome of the presidential election, nor were any U.S. person(s) knowingly part of such an attempt to sabotage as it relates to the Russian investigation …

And:

… U.S. and other foreign entities (as further described within DHS (XXXX), acting outside of Russian agents, did attempt on numerous occasions, and were successful, in interfering w/ the presidential elections of 2016, Senate elections of [x, y, and z], [x] elections, whereby several million of illegal, non-resident ballots (the “irregularities”) were counted, while legal ballots were improperly tabulated and/or intentionally mishandled.  We believe these actions were a coordinated attack against the democracy of our country.

The QAnon post goes on to note the DHS will be submitting a final report to the White House, to the Department of Justice, and to other state and local agencies outlining findings next month.

The post further suggests that while the DNI, DHS, FBI study was limited to a sampling of 22 counties, the findings were so conclusive that a countrywide examination is mandated.

Read More @ Infowars.com

China’s Most Powerful Weapon in the Coming Trade War

by Nick Giambruno, International Man:

“When any market is down 90%, you’re obligated to go and investigate.”

That’s what Doug Casey often says. And it’s part of the reason I put my boots on the ground in China a few months ago.

As I told you yesterday, the country has a monopoly on a little-known resource market. For years, stocks in this sector only went down. The industry was left for dead… until recently.

The last time this happened, the price of this resource skyrocketed over 10 times almost overnight.

And, as I’ll show in a moment, I think there’s a strong chance a similar mania will start soon…

China’s Monopoly

Most people have never heard of the material China controls. But it’s essential to modern life.

It’s used to make crucial components for advanced electronics like iPhones, electric cars, flat-screen TVs, computers, and sophisticated military equipment—like guidance systems, drones, anti-missile systems, radars, and fighter jets.

The United States’ top-line fighter jet, the F-35, contains nearly 450 kilograms of this material.

There’s no substitute for this resource in these advanced electronics. The US military and US consumer depend on it.

The problem is that finding this material isn’t cheap. And once you find it, mining it is expensive and messy. It takes about 40 tonnes of rock (40,000 kilograms) to get only about 250 kilograms of this valuable material.

The costs are even higher if you separate the material from the ore in an environmentally friendly way.

But China is willing to do the dirty work.

Beijing helps by subsidizing the industry. Meanwhile, many companies in other countries—operating without hefty state subsidies—go bankrupt.

Plus, China doesn’t fret about the environmental fallout as much as other countries. This lets it produce the material at a much lower cost than its competitors.

Until recently, one company in the US still produced a small amount of this material. Then, after a spat with a neighboring country, China flooded the market with supply. This oversupply drove the last US company out of business.

According to a US Congressional report:

[China] flooded the market by more than tripling the previous world supply of the materials. During this time, [Chinese firms] were largely unprofitable but were allowed to survive through direct and indirect support by the Chinese government.

This backing enabled [China’s industry] to continue to mine and export these materials at prices far below the actual costs of production…

Mines in the United States and elsewhere, unable to remain profitable against cheap Chinese exports, went out of business.

This is how China undercut everyone else and came to dominate the industry. Today, China produces around 90% of global supplies of this material.

In short, no one poses a serious threat to China’s monopoly. China can simply hold prices lower for longer than any competitor can stay solvent.

This unchallenged monopoly could quickly become a huge problem for the US. But the US government won’t just sit on its hands…

The US-China Trade War Is Heating Up

Regular readers know I think a full-blown trade war between the US and China is imminent. And we’ve already heard the opening shot.

Let me explain…

Early on in his presidency, Donald Trump indicated that he wouldn’t handle China like the previous US presidents.

In January 2017, he became the first president in 40 years to speak with the leader of Taiwan, an island off the coast of China that Beijing considers a renegade province.

Even during the campaign, Trump famously threatened a 45% tariff on Chinese goods entering the US.

He also said China was sucking “the blood out of the United States” and “we can’t continue to allow China to rape our country, and that’s what they’re doing.”

Read More @ InternationalMan.com

Turkey Will Be Ground Zero in the Next Global Debt Crisis

by Jim Rickards, Daily Reckoning:

Turkey is a beautiful country with a rich history including Greek, Roman and Muslim influences that make it one of the most fascinating places on Earth. It is literally a bridge between East and West: The mile-long Bosporus Bridge just north of Istanbul connects Europe and Asia across the Bosporus Strait.

Turkey has been a magnet for direct foreign investment from abroad and dollar-denominated loans by international banks to local enterprises. This investment enthusiasm is understandable given Turkey’s well-educated population of 83 million and its rank as the 17th-largest economy in the world, with a GDP of just under $1 trillion.

The flood of bank lending and direct foreign investment has given rise to another flood of hot-money portfolio investors in Turkish stocks chasing high returns with cheap dollar funding in a variation of the global carry trade. So-called emerging-market (EM) funds offered by Morgan Stanley, Goldman Sachs and others are stuffed full of Turkish stocks and bonds.

  Your correspondent in central Istanbul, Turkey, on the site of the ancient Hippodrome, where chariot races were still held in late antiquity. In my many visits there since 1996, I have observed Turkey’s shift from a firmly secular society to one dominated by religious and authoritarian rule. As Turkey turns its back on Western society, it still relies on Western institutions to deal with potential debt, currency and reserve crises. Turkey’s new alienation from the West may mean that Western help will not be available in a future financial crisis.
Your correspondent in central Istanbul, Turkey, on the site of the ancient Hippodrome, where chariot races were still held in late antiquity. In my many visits there since 1996, I have observed Turkey’s shift from a firmly secular society to one dominated by religious and authoritarian rule. As Turkey turns its back on Western society, it still relies on Western institutions to deal with potential debt, currency and reserve crises. Turkey’s new alienation from the West may mean that Western help will not be available in a future financial crisis.

But there’s a dark side to this seeming success story. Turkey’s external dollar-denominated debt is so large that a combination of rising U.S. dollar interest rates and a slowing global economy could quickly turn Turkey from model EM to the canary in the coal mine of the next great global debt crisis.

The risk of a major debt crisis beginning in Turkey is heightened by the rise of Turkey’s President Recep Tayyip Erdoğan as an autocratic strongman in the mold of Argentina’s Juan Perón and other populist nationalists who have ruined strong economies.

Begin with a look at the Turkish debt situation. Turkey’s debt is huge, one of the highest debt burdens of any EM. Turkey owes $450 billion to foreign creditors, of which $276 billion is denominated in hard currency, mostly dollars and euros. The remainder of $174 billion is denominated in Turkey’s local currency, the lira.

Both kinds of debt are problematic. The lira debt is a growing burden because lira interest rates have skyrocketed from 6% to 12% in the past five years.

The foreign currency debt is problematic for two reasons. The first is that the lira has devalued from 1.75 to 3.89 to the dollar since 2013, which increases the amount of lira needed by local companies to repay their external debt. The second reason is that U.S. and euro interest rates are starting to rise, which also makes the external debt burden more difficult to service.

Turkey’s hard currency reserve position is adequate for the moment, with about 100% coverage of foreign debt. The problem is not an immediate debt crisis but the likelihood that foreign credit could dry up or reserves could drain quickly, leading to a tipping point and a rapid loss of confidence.

Unfortunately, there are numerous economic and geopolitical catalysts for such a loss of confidence. The principal catalyst is a sharp deterioration in Turkey’s relations with the West and increasing links between Turkey and Russia that could lead to a crisis.

Recent polls show that 68% of Turkish citizens believe that Turkey’s alliance with Europe and the U.S. is breaking down. The same poll shows 71.5% of Turkish citizens believe that Turkey should enter into an economic, political and security alliance with Russia.

Another irritant is the widespread belief in Turkey that the U.S. played a role in the attempted military coup d’état against President Erdoğan in July 2016. This suspicion is heightened by the fact that the U.S. refuses to extradite Erdoğan’s political enemy, Fethullah Gülen, who lives in exile in Pennsylvania.

Erdoğan alleges that Gülen tried to force him from office in 2013 based on false charges — what Erdoğan called a “judicial coup.” The combined impact of a so-called judicial coup and an actual military coup attempt have led to profound distrust between the U.S. and Turkey.

The U.S. court system is also currently hearing a trial in which a Turkish-Iranian gold dealer, Reza Zarrab, has turned state’s witness and is providing testimony involving bribes and kickbacks by the Erdoğan government.

The U.S. government’s main charge is that Turkey helped both Russia and Iran avoid U.S. government economic sanctions. A newly passed Russian sanctions bill would impose severe penalties on Turkey if it goes ahead with a proposed purchase of Russian anti-aircraft systems.

A more serious point of contention between the U.S. and Turkey involves the role of the Kurds in Syria. From Turkey’s perspective, the Kurds are a separatist movement that threatens the territorial integrity of Turkey. The most extreme Kurds are pushing for an independent Kurdistan that would include parts of present-day Turkey, Syria, Iraq and Iran.

From the U.S. perspective, the Kurds are a potent fighting force who have been instrumental in the decimation of ISIS and are now playing a key role in support of Syrian freedom fighters opposing the regime of Syrian President Bashar al-Assad. The Kurds are bitter enemies of Turkey and good friends with the U.S.

Another confrontation between the U.S. and Turkey is emerging over the status of Qatar. Saudi Arabia economically isolated and physically blockaded Qatar because of its support for terrorists and Islamic radicals. The U.S. has tried to mitigate this conflict but on balance supports the Saudi position.

Turkey has come to the aid of Qatar with both financial support and a military presence. A war between Saudi Arabia and Qatar would, in effect, be a proxy war between the U.S. and Turkey, two erstwhile NATO allies.

In short, U.S.-Turkish relations are at their lowest point since the breakup of the Ottoman Empire in 1922.

This deterioration in relations has important economic implications. If Turkey were to find itself in financial distress — a highly likely outcome in the near future — the usual place to turn for a financial lifeline is the IMF. However, the U.S. and its Western allies, especially Germany, have effective veto power over IMF bailouts.

The U.S. might demand conditions on any IMF assistance to Turkey in the form of compliance with Russia sanctions. Turkey would likely reject such conditions leading to an impasse on the subject of IMF aid.

Read More @ DailyReckoning.com