U.S. Federal Reserve Bank Chairman Jerome Powell

…meanwhile…

(TUE 9/20/22)

Mortgage Rates Hit 6% -- The Federal Reserve Open Market Committee is expected to raise interest rates by 75 basis points (0.75%), when it meets Tuesday and Wednesday, Punchbowl News reports. The Fed has been imposing big increases in the interest rate since inflation hit 40-year record highs, and Chairman Jerome Powell (pictured above) will likely signal more big increases until inflation comes down significantly from its current 8.3% annual rate. The mortgage rate is running at 6% for the first time since the inauspicious year 2008. 

Note: Warnings of a coming recession among some economists (and most Republicans, looking to save their prospects in the midterms) are offset by other economists (and the Biden White House) who point to record-low unemployment and high job growth. The economic anomaly is that we’re still suffering the ravages of the COVID-19 pandemic (despite Biden’s claim on 60 Minutes that it’s over) as well as the effects of the cutoff of Russian oil to Europe, where Germany and the United Kingdom in particular, are suffering higher inflation rates and face almost certain recession and a cold winter. 

This is not to downplay the economic suffering of the American working- and middle-classes, but if Vladimir Putin has had any personal success in his brutal attack on Ukraine, it’s that he has hijacked potential economic recovery in the West following shutdowns from the pandemic. 

•••

Texas Sheriff Investigates DeSantis’ Flights – Bexar County, Texas Sheriff Javier Salazar (D) has opened an investigation into Florida Gov. Ron DeSantis’ (R) political stunt he played out on Fox News in which 50 Venezuelan migrants were flown from San Antonio to Martha’s Vineyard in Massachusetts last week. The migrants had turned them in to U.S. Border Patrol after crossing from Mexico and were granted “temporary protected status,” and Salazar is looking into whether they were “lured from the Migrant Resource Center” under “false promises” for work and assistance, according to The Washington Post.

--Edited by Todd Lassa

_____________________________________

This Week in NYC and DC (MON 9/19/22)

(United Nations HQ, New York City)

The White House – Joe and Jill Biden attended Queen Elizabeth II’s funeral in London Monday as the United States had a chance to react to the president’s comments on CBS News’ 60 Minutes Sunday night that U.S. troops would defend Taiwan if China conducted an “unprecedented attack.” 

“So unlike Ukraine, to be clear, sir, U.S. forces, U.S. men and women would defend Taiwan in the case of a Chinese invasion?” 60 Minutes’ Scott Pelley asked.

“Yes,” Biden replied.

Chinese spokesman Liu Pengyu said in a series of tweets that Biden’s remarks “sends wrong signals to Taiwan independence’ separatist forces, and severely jeopardizes China-U.S. relations and peace and stability across the Taiwan Strait,” CBS News reports. 

Biden also told Pelley that he hasn’t decided whether to run for re-election in 2024, and said that he was not briefed about the top-secret documents found at Donald J. Trump’s Mar-a-Lago, nor was he aware of the FBI’s search warrant ahead of time.

•••

This Week – The United Nations 77th General Assembly begins Monday at its New York City headquarters, the first in-person meeting since 2019. President Biden is expected to give his speech Wednesday on the war in Ukraine and on climate change, a day later than the U.S. president’s usual place on the schedule, because of his attendance at Queen Elizabeth II’s funeral.

The House of Representatives and Senate are in-session Monday through Thursday; the Senate only is in session on Friday.

--Edited by Todd Lassa

_____________________________________

...meanwhile... (FRI-SUN 9/16-18/22)

(Judge Cannon)

Judge Picks Dearie -- This all seems to have gone to Donald J. Trump’s plans, with a federal judge he appointed after losing the 2020 election refusing to allow the Justice Department to review documents seized from his Mar-a-Lago home August 8 until a special master requested – demanded – by the ex-president’s attorneys has examined them first. That special master appointed by Judge Aileen Cannon Thursday, senior New York Federal Judge Raymond Dearie, was proposed by Trump’s attorneys and deemed acceptable by the Justice Department. 

The Justice Department is not allowed to use the sensitive documents in its investigation while Dearie reviews them and is expected to appeal Cannon’s ruling before the U.S. Court of Appeals for the 11th District, in Atlanta, The Washington Post reports. 

DOJ had argued that the special master should not be allowed to review the classified documents seized, but Cannon in her ruling said that it is a “matter of dispute” whether the documents marked classified are, in fact, classified. Trump’s attorneys have suggested that the documents may not be classified, but have not asserted that Trump personally declassified them, WaPo says. Trump also has not given any indication why he kept the papers.

Timing is key: Cannon has given Dearie to November 30 to complete his review, which pushes the case well into next year, when the GOP hopes to have majorities in both chambers of Congress and can begin some counter-investigations of its own. By then, too, Trump may very well have announced his bid for the 2024 Republican presidential nomination and will continue to accuse the DOJ under the Biden White House of conducting yet another “witch hunt.”

ICYMT1/6CD (In Case You Missed This 1/6 Committee Development): Ex-President Trump’s ultimate chief of staff, Mark Meadows, has agreed to comply with a subpoena from the House Select Committee to Investigate the January 6th Attack on the Capitol.

--Todd Lassa