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New Trump-Xi Showdown Approaches As Chinese Tankers Press Ahead To Venezuela Despite Blockade

Two Chinese-flagged very large crude carriers are proceeding toward Venezuelan waters despite a U.S.-imposed blockade on sanctioned oil tankers, raising the prospect of heightened tensions between Washington and Beijing over Venezuela's crude exports.

Thousand Sunny oil tanker (photo: Tommy Chia)

Shipping data published by Lloyd's List on Tuesday shows the Thousand Sunny is expected to arrive at Venezuela's Jose Terminal in mid-January after rounding the Cape of Good Hope empty in the southern Atlantic, Newsweek reports. The vessel, which is not subject to U.S. sanctions, has historically transported Venezuelan Merey heavy crude to China. A second unsanctioned Chinese-flagged VLCC, the Xing Ye, is currently positioned off French Guiana, awaiting loading at the same terminal, Newsweek said.

Via Newsweek

Both the State Department and China's Foreign Ministry have remained mum on the vessels' movements.

The high-stakes voyages come as President Donald Trump escalates pressure on Venezuelan dictator Nicolás Maduro, including a mid-December order for a "total and complete blockade" of sanctioned oil tankers entering or leaving the country. U.S. forces have seized at least two tankers carrying Venezuelan crude in international waters this month, with a third evading boarding. The Pentagon has described the measures as a "quarantine" aimed at curbing revenue to the Maduro government, which Washington accuses of links to drug trafficking and terrorism.

Separately, the Central Intelligence Agency carried out a drone strike on a remote coastal dock in Venezuela earlier this month, marking the first acknowledged U.S. operation on Venezuelan territory, according to people familiar with the matter briefed to CNN.The target, believed by U.S. officials to be used for storing and loading narcotics onto boats - potentially by the Venezuelan gang Tren de Aragua - was unoccupied at the time, and no casualties were reported. The strike followed a series of U.S. attacks on suspected drug-trafficking vessels in international waters.

Trump first referenced the operation in a Friday radio interview with WABC's John Catsimatidis, saying U.S. forces had "knocked out" a "big facility where the ships come from" two nights earlier.

On Monday, Trump elaborated on the mission during a gaggle with reporters, saying, "There was a major explosion in the dock area where they load the boats up with drugs... That is no longer around."

The White House and Pentagon have declined to provide further details on the operation or its execution. Venezuelan officials have not publicly responded to the reports.

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Hundreds Of Thousands In Moscow Experience Rare 'Total Blackout' After Drone Wave

Something very rare just happened in Moscow. Large swathes of Russian capital were plunged into darkness Wednesday after a swarm of inbound Ukrainian drones resulted in a fire at a key electrical substation.

People reported widespread outages across the Moscow region, including a "total blackout" in areas southeast of the capital, leaving homes without electricity for over four hours.

Power was cut to hundreds of thousands of residents in and around Moscow, though estimates have varied from 100,000 to up to 600,000 people impacted.

Social media videos and images showed apartment buildings, streets, and and businesses in areas like Zhukovsky, Lyubertsy, Lytkarino, and Ramenskoye, in total darkness.

Moscow authorities confirmed they deployed an army emergency crews with mobile generators to darkened city sectors as repairs were being made.

Moscow Mayor Sergei Sobyanin said at least 100 drones were intercepted between 5:00 and 7pm that night. At least eight were shot down directly over the Moscow region - though drones were observed over various parts of the country, as has become an almost nightly norm.

The evening drone wave resulted temporary closures at Moscow’s airports, disrupting air traffic, which has also occurred a number of times before.

This marks a rare moment that the power grid has been successfully targeted in Moscow, after literally hundreds of attacks on oil and gas sites in various other oblasts of the country, particularly near the Black Sea and southwest Russia.

While numbers have varied, this was clearly a very widespread outage across various districts in Moscow Oblast:

It is more typical for Ukrainian cities to be suffering, amid cold and increasingly winter temperatures. The national grid has needed so many new parts at such rapid pace that it can't keep up.

"Russian strikes on Ukraine’s power grid will continue without President Trump stepping in, Ukraine’s top energy executive has warned, as millions risk a freezing winter without power," Fox reports.

"DTEK's Maxim Timchenko spoke out as Ukraine braced for further Russian drone and missile attacks on energy infrastructure and a day after Trump met Ukrainian President Volodymyr Zelenskyy for the third time to bring an end to the nearly four-year war," it adds.

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Americans Will Drop Everything (And Anything) To Celebrate New Year's Eve

Authored by John Haughey via The Epoch Times,

Millions worldwide will watch a crystal ball descend 139 feet down a flagpole in Manhattan’s Time Square as a throng of thousands counts down the last 10 seconds of 2025 and ushers in 2026 in a blizzard of confetti and a cacophony of kazoos, party horns, whistles, and whatever else imaginative noisemakers can stash and carry.

The minute-long ball drop is among the planet’s most viewed annual live events.

At least a billion will see the 12.5-foot diameter, 12,350-pound “Constellation Ball“ with 32,000 LEDs and 5,280 Waterford crystals shimmer, shine, and sink.

Only this year, they’ll see the ball rise again in a blaze of red, white, and blue as 2026 dawns to mark the 250th birthday of the United States and instantly kick off a year of commemorative celebrations across the country.

The Times Square New Year ball drop is glitter, glitz, and a tradition since 1907 so when it comes to ball drops, it’s the premier event.

But face it: Anyone can drop a ball.

Ask Jacksonville Jaguars’ quarterback Trevor Lawrence. His receivers have dropped the ball an NFL-leading 45 times in 2025. It’s been done. Over and over.

So ever-innovative Americans have found all sorts of weird and wonderful things to drop when saying farewell to one year and welcoming the next.

On New Year’s Eve, anchors and shoes will drop—a “whiskey boot” in Prescott, Ariz.; flip-flops in Folly Beach, S.C.—and pants will be run up and down flagpoles, including yellow breeches on Yellow Breeches Creek in Lititz, Pa.

Marine life will be honored with sardines, mossbunkers, lobsters, oysters, conch, carp, red crabs, and blue crabs dropping in coastal towns, including Manhattan’s Hell’s Kitchen, where “Cosmic Turtle” is set to rise and fall to the occasion like a true hard-shelled urbanite.

There will be birds of all feathers diving into posterity, most commonly eagles, pelicans, and ducks, but in Perry, Ga., a buzzard will wing in the New Year.

Stuffed beavers, bears, goats, a hamster, and a flying pig will be among cherished critters descending to applause with a live possum the honoree in Tallapoosa, Ga. When it comes to, let’s say the most distinctive New Year drops, Georgia and Pennsylvania top the list.

Vegetables and fruits will be frequent fallers. Oranges, blueberries, pineapples, peaches, watermelons, grapes, cherries, strawberries, acorns, mushrooms, lemons, peanuts, olives, lettuce, potatoes, chili peppers, and applies—including apples with arrows shot through them—will take the plunge. There will be pickle drops but the one in Dillsburg, Pa., soberly conducted since 1907, is the best preserved.

Stars, sunbursts, atoms, meteorites, jugs, race cars, hockey pucks, fishing lures, piñatas, ukuleles, guitars, bricks, beer bottles, cannonballs, ping pong balls, golf balls, beach balls, popcorn balls, crayons, kettles, cigars—there’s controversy in Red Lion, Pa., where a lion will defiantly hoist a cigar, but in a parking lot rather than from the municipal building—horseshoes, and gumbo pots will all mark the passage of time and decorum.

Meatballs, sausage, cheese dogs, pretzels, French fries, potato chips, pierogies with kielbasa, tacos, an 80-pound cheese wedge, giant M&Ms, Hershey’s Kisses, lollipops, ice cream cake, doughnuts, a 600-pound moonpie, and tortilla chips will be on the drop menu and, for the 29th year, so will a 150-pound “stick” of bologna in Lebanon, Pa.

Pac-Man, pirates, drag queens—in Key West, pirate drag queens—Las Vegas skydivers in lighted suits, and a Kansas City comedian will be among those who drop as the last seconds of 2025 tick away, as will Jasper The Flea, Lucky The Dead Carp (kiss it for good luck!), Captain Wylie Walleye, Spencer The Stuffed Opossum, Chuck The Chicken, Bob The Shrimp, and Marshall P. Muskrat in top hat and bow tie.

Below are 12 arbitrarily selected towns with distinctive styles in counting down the final fleeting moments of a year.

The 6-foot Bayer aspirin tablet drop Myerstown, Pa., would be included but confirming if that’s happening this year is too much of a headache, and if others are overlooked, someone in marketing dropped the ball.

In Guam, where “America’s Day Begins” 15 hours before the day begins in Times Square, it’s good luck to wear polka dots on New Year’s Eve, and on Cadillac Mountain in Maine, the first place to see a winter sunrise in the continental United States, anyone who sees a snowy owl on New Year’s Eve is destined to have a fortuitous year.

But luck has nothing to do with these local New Year’s drop rituals that drop-kick convention, some for don’t ask, don’t tell reasons lost to antiquity.

Eastport, Maine: There are two New Year’s Eve drops in the easternmost town in the continental United States as part of The Great Sardine & Maple Leaf Drop. At 11 p.m., an illuminated maple leaf descends to honor neighboring towns across the border in Canada’s Atlantic Time Zone and an hour later, down comes a six-foot sardine that onlookers swarm to kiss for good luck. If smooching a sardine doesn’t appeal, there’s always the DownEast Lobstah Drop an hour away in Machias.

Key West, Florida: A six-foot queen conch shell will drop 20 feet onto the bar at Sloppy Joe’s during the Key West Conch Drop but whether celebrants notice is always uncertain with all sorts of things dropping elsewhere on Duval Street. There will be plenty of citrus-themed drops across the Sunshine State and kids can pick a brick to drop at Legoland in Winter Haven.

Unadilla, Georgia: A pig-shaped sign will be lowered in awestruck reverence during the ninth annual “Hog Drop” that includes a BBQ competition, Monster Truck show, dirt bike stunts, fire breathers, racing pigs, chainsaw sculptors, and axe-throwers.

Sure, Atlanta is dropping a big peach, Brunswick has “Bob The Shrimp,” Cornelia the “Little Red Apple,” and Perry has its buzzard, but watching the hog drop in Unadilla is, like, seeing what Georgia is all about.

Vincennes, Indiana. An 18-foot, 500-pound steel-and-foam watermelon descends 100 feet during the last 60 seconds of the year before hitting the ground and spilling forth a bounty of locally grown watermelon. This isn’t merely some quirky local oddity, this is the National Watermelon Drop—the Super Bowl, World Cup, Nobel Prize of watermelon drops.

Frederick, Maryland: The 78th annual “Key Drop” on Carroll Creek will commemorate Francis Scott Key, the hometown lawyer who wrote the poem “Defense of Fort McHenry“ that became the United States’ national anthem., ”The Star-Spangled Banner.”

Less than 30 miles away, a giant doughnut will be dunked in Hagerstown to honor Krumpe’s Do-Nuts, a family-owned bakery in business since 1934, because—why not?

Detroit: The ninth annual “D Burst” will drop at Campus Martius Park to commemorate the Motor City’s renaissance and serve as the finale of a series of celebrations that began with a Christmas tree lighting ceremony on Thanksgiving.

Meanwhile, in Naguanee, on Michigan’s Upper Peninsula, the annual New Year’s Midnight Meatball Drop at Strega Nonna, will likely draw many of the town’s 4,600 residents to enjoy a 50-pound meatball that drops into a massive pot of tomato sauce.

St. Paul, Minnesota: The Midway Saloon will again orchestrate the New Year’s “Minnesota Bobber Drop” that features the descent of the unchallenged, no doubt, Guinness World Records-certified largest functioning fishing bobber—a seven-foot diameter red-and-white float “big enough to make Paul Bunyan proud.”

Allentown, Pennsylvania: Downtown Allentown isn’t just dropping hockey pucks, it annually stages “The World’s Largest Puck Drop” on New Year’s Eve, just one of many distinctive celebrations across the Keystone State.

Among notable drops: Mabel The Cow from a silo in Blain; Haydn’s Jug in East Petersburg; a wrench in Mechanicsburg; and “chunks of coal” in several towns.

Oak Ridge, Tennessee: Celebrate the end of 2025, which marked the 80th anniversary of atomic weaponry that somehow, thus far, hasn’t ended life on Earth, at the “Secret City New Year’s Eve Atomic Ball Drop” in the national lab city where it all began.

Mobile, Alabama: A Mardi Gras-style parade ends with the descent of a 600-pound MoonPie from RSA Tower in Mobile’s 17th annual “MoonPie Over Mobile“ New Year’s Eve party.

For something more down to earth in ‘Bama, there’s always the Wetumpka Crater “Meteor Drop” and Samson’s “Snuff Drop,” which commemorates “an incident where a train containing a shipment of Rooster-brand snuff [tobacco] was parked at the town’s depot for an extended period of time.” Got to be there to learn the details of this “incident.”

Plymouth, Wisconsin: Home of “The Big Cheese Drop,” where an 80-pound decorated cheese wedge is dangled and dropped 100 feet from a firetruck ladder.

Show Low, Arizona: The annual “Show Low Deuce of Clubs Drop” will draw locals and tourists to see a giant playing card lowered from the town’s library to commemorate “the infamous card game that started the town.”

Elsewhere in Arizona, iceberg lettuce will be dropped in Yuma and a pinecone in Flagstaff, and a boot in Prescott.

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Everyone's A Lender Now: Shadow Banking USA

Authored by Charles Hugh Smith via OfTwoMinds blog,

How much private credit has been put in place but isn't in the official credit total is unknown and very likely unknowable. That means total systemic risk is also unknowable.

Everyone wants to lend us money now, even though they're not banks: the insurance company Progressive offered us a loan, PayPal offers us a business loan every time we log in, and the payment processor Stripe includes a pitch to borrow money on its dashboard page.

Then there's the ubiquitous payment plans offered by seemingly every vendor / retailer.

These are parts of the shadow banking system (SBS) that we see, but most of the system is hidden in the global economy's complex financial plumbing. The shadow banking system differs from nation to nation, as it developed to avoid whatever is tightly regulated or restricted within each banking system.

Here is a general definition:

 "Shadow banking in the U.S. refers to non-bank financial institutions and activities that provide services similar to traditional commercial banks but operate largely outside of conventional banking regulations. The sector has grown significantly in recent years and plays a major role in the financial system, though it also poses systemic risks due to its lack of transparency and regulatory oversight."

In a global economy dependent on credit, leverage, artifice and speculation, the expansion of shadow banking is highly incentivized. How much of this activity and debt ends up in official statistics of credit is hard to know, even for experts, given that the goal of shadow banking is to avoid the regulations and restrictions that increase transaction costs and limit risk.

Risk brings us to the treacherous territory between known unknowns and unknown unknowns, as risk is a funny thing: it cannot be extinguished, but it can be cloaked, transferred to others, sold to the unsuspecting as "safe," or buried beneath complexity. It can also lay dormant, slowly dissolving whatever holds the system together, a process that remains hidden until the avalanche surprises everyone who thought the snowmass was stable because it appeared stable.

These links shed some light on the scale, asymmetries and risks built into a sprawling, highly interconnected, highly leveraged shadow banking system with few institutional safeguards or backstops.

Shadow banking system

Nonbank Financial Intermediation (NBFI or "Shadow Banking") and Capital Markets Policy

Shadow Banks: Out of the Eyes of Regulators

Bank Turmoil Is Paving the Way for Even Bigger 'Shadow Banks'

Total known credit is already a systemic risk. 

How much private credit has been put in place but isn't in the official credit total is unknown and very likely unknowable. That means total systemic risk is also unknowable.

*  *  *

My new book Investing In Revolution is available at a 10% discount ($18 for the paperback, $24 for the hardcover and $8.95 for the ebook edition). Introduction (free)

Check out my updated Books and FilmsBecome a $3/month patron of my work via patreon.comSubscribe to my Substack for free

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Is The Gloom And Doom About An AI Dystopia Justified?

Authored by Arthur Schaper via American Greatness,

“Artificial intelligence does the work of many minds at once. Will human creativity flourish or fail?”

“Artificial intelligence will make us useless slaves. We must stop these abuses before they start!”

“AI will create killer robots! We’re doomed!”

I have heard various versions of the above concerns regarding the rise of robots, the growth of artificial intelligence, and the broader concerns about the moral and ethical dilemmas facing humanity as technological innovation advances—and then accelerates.

The gloom around AI is understandable but incorrect.

Technological innovation has always served as a winnowing process. Old jobs fall away, but new jobs take their place. Some career paths may disappear, but new opportunities take over.

No matter how sophisticated, artificial intelligence cannot replace human intelligence, wisdom, ingenuity, and entrepreneurship. AI can hone specialized skills for those who want to retain or maintain specific fields of craftsmanship, but craftsmen are not going away.

With special thanks to Canadian commentator JJ McCullough, AI makes it easier to create templates and ideas, but the quality and the taste of the pictures, objects, and ideas created are, on the surface, still cringeworthy. A machine cannot inspire, nor can it replicate the inspiration of the human spirit. Whatever stories, poems, or other forms of art that can come out of a ChatGPT prompt, the style and substance will never suffice or suffuse the human mind. Furthermore, the compact creations of Grok or Meta AI programs can’t reflect the inner tensions of man’s search for place or meaning in his world, including the scenes that he depicts. While AI can generate pictures or formulate ideas into pictures, it cannot create or enhance the contrasts, shades, and shadows that transform the ordinary into the extraordinary.

Of course, there is a growing number of artists and intellectuals ruggedly opposed to AI. They think that all creative works deserve assessment and praise based on the amount of effort put into the creation. Here’s the fundamental failure of the marketplace for leftists. Value is not determined by labor but by the interest or value of the consumer. No creation, no good, and no service has value in and of itself, but rather its value is based on what it produces. There you have the Austrian economics’ subjective theory of value.

Animators fear that AI will take their jobs away. AI might make it easier to produce films, but the fundamental characters and templates of individual actors, processions, and ideas will have to come from the people. The stunning beauty of Walt Disney’s “Snow White” still rivals the computer animation of DreamWorks.

Instead of limiting or bankrupting artists, AI will induce the general public to discern quality, and artists will strive to reflect that. The general public will have a greater appreciation for the abstract and avant-garde. That’s a win-win for artists.

We cannot predict how broad and commanding man’s ingenuity will be going forward. AI has provided a means for man to be more creative more quickly, but it cannot predict or anticipate the future wants and needs of the general public, either.

Man and his search for competence, recognition, and meaning will not disappear, but our lives will improve in the search for answers.

Another fear about rapid mechanization and advancement of AI was that there would be such widespread unemployment that governments and peoples would have to invest in universal basic incomes.

Industries that promoted the upkeep and well-being of horses fell into decline with the arrival of the automobile. Animal enthusiasts, performers, and general-interest equestrians still own horses, ride them, and enjoy their company. The horse-riding industry was limited, but it became more specialized.

But specialized careers employ fewer people. Where’s the comfort, then? Consider the moment when banks switched to automatic in the 1970s. There was widespread fear that automated teller machines, ATMs, would put thousands of people out of work. The opposite happened. Banks shifted their services to more customer-related features. With the increased savings, these financial firms opened up more branches, and they ended up having to hire more people! Free enterprise does entail creative destruction, but there always follows a creative proliferation!

Furthermore, it’s rather arrogant for labor leaders and liberal pundits to claim that “There will be no jobs left.” Human wants and needs are constantly changing. Steve Jobs created the portable phone with Internet before there was a thought, let alone a want, for the phone. Once he invented the nifty device, everyone had to have one. The innovations often create the need because of the facility and agility they provide to the consumer.

Even now, reports are listing the jobs that AI cannot replace. Human beings will always have employment opportunities.

Besides, if AI became so sophisticated that all jobs became obsolete, then that would mean the AI could provide for all human needs, thus eliminating concerns about economic privation and starvation.

We’ve dispensed with the gloom.

But what about the doom?

Are we on the verge of the T-800 and T-1000 making war on the human race? Hasta la vista, baby!

Will we see “I, Robot” become reality? A recent video of Chinese engineers fending off a robot prototype, which began thrashing its arms and legs wildly—and violently—raised these concerns. Another article described how an AI program deleted all the software of a company, ruining the productivity and preeminence of the company.

Artificial intelligence that can recognize itself opens serious ethical concerns. Will they attack us? Will they make war on us? We should not be naïve enough to ignore such a possibility. Is it ethical to treat mechanical creations, acting as our servants, with any form of disdain or disrespect? When do we discuss the rights of robots and the responsibilities of human beings in connection to these creations (creatures)?

Instead of focusing on job losses, AI discussions should focus on ethical concerns, and we must ponder the answers. No one wants to face the fate of Dave in “2001: A Space Odyssey” or the Epsilons in “Brave New World.”

Views expressed in this article are opinions of the author and do not necessarily reflect the views of ZeroHedge.

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'Above Average'

Authored by James Howard Kunstler,

“The left can act with an insane decentralized unanimity typically seen only in the insect kingdom.”

- Curtis Yarvin

All winters are winters of discontent, but some winters are more discontented than others, and this one is like being stuck in a smoke-filled sod hut on the lonely prairie, with lice crawling under your hair-shirt, while a sleet-storm rages outside. . . . And it was only just Christmas days ago!

Immigrants, legal and otherwise, are the gifts that keep on giving.

Minnesota is acting all indignant now over the discovery that its many thousands of Somali guests made a major industry of looting the government. What is it with Garrison Keillor’s upright descendants of the pioneers? I guess they’re not as “above average” as he used to tell us.

The fellow in charge, for instance, was one Tim Walz, recently a candidate for Veep, if you can believe it. He seemed oblivious to the scam-o-rama going on, though the “Little Mogadishu” neighborhood in Minneapolis is only a couple of miles from the governor’s mansion across the Mississippi River in St. Paul.

Minnesota Governor Tim Walz, flummoxed

You must wonder: does he know any of these people?

Does he consort with their representative in Congress, Ms. Ilhan Omar who, just this year happened to come into a $30-million fortune.

(Did Nancy Pelosi tutor Rep. Omar on stock-picking?)

The Somali racketeering network is alleged to have stolen billions of tax dollars for empathy-dripping social services programs such as “Feeding Our Future,” housing stabilization, autism therapy services, day-care, and Covid-19 relief measures.

These were a mix of state and federal funds funneled through Medicaid, with the feds covering roughly 50-60 percent of costs, all administered by the state government. The fraud proceeds were primarily spent on personal luxury items (cars, homes, travel), real estate (including overseas), or transferred abroad to Somali terror groups such as al-Shabaab associated with al Qaeda.

Governor Walz declared, “Minnesotans have no tolerance for fraud. That’s why we created a state law enforcement unit to investigate and hold people accountable for these crimes, and why I’m calling on the legislature to pass our comprehensive anti-fraud package.” Another son of the prairie, Senator Everett Dirksen of Illinois (d. 1969) once cracked, “. . . a billion here, a billion there, sooner or later you’re talking about real money.” FBI Director Kash Patel “surged” a big unit of his agents to the Land o’ Lakes to have a closer look at the situation. So far, federal prosecutors have secured convictions (many through guilty pleas) of over sixty Somalis and the American who ran the non-profit org Feeding Our Future, Aimee Bock, described as “the ringleader.”

Prosecutors say those associated with the org defrauded the Federal Child Nutrition Program of nearly $250 million through Minnesota’s Department of Education.

The feds identified millions of dollars in several bank accounts associated with Bock, as well as more than $13,000 in cash found in her home. KSTP-TV Eyewitness News, Minneapolis said, “Bock was also convicted of accepting kickback payments, or bribes, and funneling money to her boyfriend at the time, one Empress Watson.”

Say, what. . . ? A boyfriend named. . . Empress? Is it possible that Governor Walz is not personally acquainted with Aimee Bock?

The New York Times apparently decided that the Minnesota scandal was not worth reporting. Islamophobia, you understand. Instead, the Sunday edition carried this story:

Perhaps the most interesting twist in the Great Minnesota Grift is how money bounced out of the various social service fraud operations into the coffers of Democratic-Farmer-Labor Party politicians. State Attorney General Keith Ellison collected donations totaling around $10,000–$15,000 from multiple defendants or affiliates shortly after a 2021 meeting where future fraudsters discussed state oversight issues. His son, Minneapolis City Council Member Jeremiah Ellison, pulled in up to $9,000 at a 2021 fundraiser from multiple future defendants. Minneapolis Mayor Jacob Frey accepted roughly $9,000 from nine defendants or affiliates. (His office later vowed to return or donate the funds.) Rep. Ilhan Omar got her beak wet for $7,000. There may be much more “smurf” donation grifting behind those via the political action committee ActBlue’s straw donor schemes. Stand by on that one.

One special outrage that flew under the radar this holiday season surfaced after Christmas: In November, Minnesota Judge Sarah West (DFL Party) tossed out a jury’s unanimous guilty verdict against one Abdifatah Yusuf of Promise Health Services, convicted of masterminding a $7.2-million Medicaid fraud.

She based her reversal on the prosecution failing to exclude other reasonable, rational inferences inconsistent with Yusuf’s guilt.

That’s rich. Is the prosecution obliged to provide alibis for the guy they’re prosecuting? Maybe in Minnesota, with its above average legal code. Anyway, Yusuf just walked. End of story. Maybe.

Tune in Friday, readers, for the annual forecast of the year-to-come. Making predictions is a mugg’s game, I admit, but a necessary ceremony nonetheless. I will do my level best.

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Lone Wolves Eye NYC Times Square New Year's Eve Special Events

With New Year's Eve just days away, a newly released U.S. government threat assessment cited by New York local outlet ABC 7 NY warns that lone wolves and small terror cells may seek to target special events in Times Square during the holiday celebrations.

"Lone offenders remain a particular concern due to their frequent ability to avoid detection until operational," according to a threat assessment compiled by the Federal Bureau of Investigation and the Department of Homeland Security.

The memo warned, "al-Qa'ida and ISIS, and their supporters, continue to demonstrate an interest in targeting special events in the Homeland, as well as U.S. officials and other perceived enemies."

The assessment said New York remains an "aspirational target," and described the Times Square celebration as an "opportunity for obstruction and violence" due to its high attendance and global audience.

The New York City Police Department has been advised to remain alert for potential vehicle-ramming attacks.

Meanwhile, a separate threat assessment for Chicago's New Year's Eve fireworks celebration at Navy Pier warns that foreign terrorists and domestic extremists could attempt vehicle-ramming attacks or use drones.

In both threat assessments, no specific or credible threats were identified.

Earlier this month, the FBI foiled a far-left, pro-Palestine, anti-government, and anti-capitalist group known as the Turtle Island Liberation Front, which was allegedly planning to carry out bombings against multiple targets in California beginning on New Year's Eve.

This year, incidents of radical-left violence have escalated to a level that even deep-state publications like The Atlantic were no longer able to ignore...

Beyond Marxist-aligned nonprofits and far-left groups such as Antifa, recent terrorist attacks in Australia, Christmas market attacks in Europe, and the attack on National Guard troops near the White House have raised concerns that the West has been deeply compromised by mass migration and left-wing nation-killing policies.

Sarah Adams has been warning about this threat for years... 

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Fed's 'Skinny' Accounts End Operation Chokepoint 2.0 - Senator Lummis

Authored by Vince Quill via CoinTelegraph.com,

Wyoming Senator Cynthia Lummis, a pro-crypto United States lawmaker, said the recent proposal from Federal Reserve Governor Christopher Waller to give crypto companies access to “skinny” master accounts would end debanking under Operation Chokepoint 2.0.

Waller proposed the idea at the Payments Innovation Conference in October, allowing crypto and fintech startups, including payment-only banks, access to accounts at the Federal Reserve similar to the “master accounts” used by banks, but with restrictions. Lummis said:

“Governor Waller's skinny master account framework ends Operation Chokepoint 2.0 and opens the door to real payments innovation. Faster payments, lower costs, better security — this is how we build the future responsibly.”

Governor Waller delivers a speech at the Payments Innovation Conference. Source: Federal Reserve

Operation Chokepoint 2.0 was described as a coordinated effort to deny banking services to crypto companies and their founders. More than 30 tech founders were debanked under the operation, according to venture capitalist Marc Andreessen.

The proposal from Waller highlights the regulatory shift in the US, with officials and lawmakers now embracing cryptocurrencies and other novel fintech startups as necessary upgrades to the payments system and the future of finance.

Operation Chokepoint 2.0 never ended, crypto industry executives say

US President Donald Trump signed an executive order in August prohibiting banks from debanking Americans and businesses without lawful cause.

The order also instructed US banking regulators, including the Federal Deposit Insurance Corporation (FDIC), to identify banks and financial institutions that engaged in debanking and potentially slap these institutions with fines or other punitive actions.

However, crypto executives, project founders, and Web3 companies continued to report debanking issues despite the order and the Trump administration’s pro-crypto stance.

In November, Jack Mallers, the CEO of Bitcoin payments company Strike, said he was debanked by financial services company JPMorgan without explanation.

Source: Jack Mallers

“Every time I asked them why, they said the same thing: ‘We aren’t allowed to tell you,’” Mallers said in a separate X post.

JP Morgan Chase also froze the bank accounts of stablecoin startup companies BlindPay and Kontigo in December, citing these companies’ alleged exposure to sanctioned jurisdictions as the reason.

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Wealthy Chinese Elites Use US Surrogacy System To Have Dozens Of Children

Authored by Michael Zhuang via The Epoch Times (emphasis ours),

Chinese billionaires and elites are increasingly using the United States’ permissive surrogacy system to have large numbers of children—sometimes dozens, or more—according to allegations made in Chinese media.

Increasing numbers of wealthy Chinese couples are hiring the services of American surrogate mothers to give birth to their babies to circumvent China's one child policy. In the photo, hundreds of Chinese babies accompanied by their parents prepare to take part in a baby swimming contest. STR/Getty Images

The surrogate children become U.S. citizens through birthright citizenship. 

According to Chinese media, Chinese gaming company Duoyi Network released a statement on social media disputing report from The Wall Street Journal (WSJ) saying that Xu Bo, Duoyi’s founder and chairman, fathered potentially more than 100 children in the United States via surrogacy. The statement said that Xu “only had 12 children in the United States via surrogacy.”

Xu’s company later issued a statement on social media acknowledging that Xu had more than 100 children born via surrogacy in the United States.

WSJ cited court documents saying that in 2023, Xu petitioned a Los Angeles family court for parental rights over four unborn children. During the proceedings, the judge determined that Xu was already the father—or in the process of becoming the father—of at least eight children through surrogacy.

Xu, who was in China at the time, appeared at a closed-door hearing by video. Through an interpreter, he reportedly told the court he hoped to have more than 20 U.S.-born children and expressed a preference for sons, saying boys were better suited to inherit a family business, according to WSJ’s account of the hearing.

Xu said the children were being raised by nannies in the United States while awaiting travel documentation to China. He told the court he had not yet met the children due to his work commitments. 

Amy Pellman, the judge overseeing the case, reportedly ruled that surrogacy is intended to help people build families—not to facilitate large-scale reproduction beyond the scope of ordinary child-rearing. In a rare move, she denied Xu’s parental rights petition.

The Epoch Times cannot independently verify the details of the court case because such family court proceedings take place behind closed doors and are not published.

Xu was a former senior executive at China’s online gaming giant NetEase. His personal fortune has been estimated by Chinese media at roughly 28 billion yuan (about US$3.9 billion).

Claims About Scale of Surrogacy

The case has drawn renewed attention in China following social media posts by Tang Jing, described in Chinese media as Xu’s former girlfriend. In a post published on Weibo in November, Tang alleged she had helped raise 13 of Xu’s children in Japan, including two daughters she said were born naturally to the couple and 11 children born through surrogacy using donated sperm.

Tang alleged that Xu had “no fewer than 300 children.” 

Although Xu’s company rejected the figure of 300 children in a statement posted online, Xu has publicly referred to himself as “China’s No. 1 Dad.”

Verified social media accounts linked to Xu show repeated statements about his desire to build what he called a large “family dynasty.” In posts dating back several years, Xu wrote that “having more children can solve all problems” and said he hoped to have “50 high-quality sons.” 

Others Linked to US Surrogacy

Xu’s case is not isolated. According to Chinese state-controlled media reports, other wealthy Chinese individuals have also reportedly used surrogacy services in the United States to produce large families.

According to state-controlled The Time Weekly, one former executive of XJ International Holdings paid large sums to obtain eggs from American models and musicians and used surrogacy to have 10 daughters. The supposed goal was to groom the children for future marriages into powerful or influential families around the world. Online discussion of the case briefly surfaced in China in 2021 before being quickly censored. Chinese media said that the executive’s father declined to comment on the matter, while the company’s staff disputed the claim and said it was a mere “rumor.”

Some senior Chinese officials have also been linked to overseas surrogacy. In 2023, the Financial Times, citing six anonymous sources familiar with the matter, reported that former Chinese foreign minister Qin Gang had an extramarital relationship with a Chinese state-owned Phoenix Television host and that they had a son born in the United States via surrogacy. Qin was later removed from office amid unrelated political turmoil.

The U.S. surrogacy industry has developed into a full-service ecosystem involving agencies, law firms, fertility clinics, and childcare providers. Some foreign clients are able to complete the process by only providing genetic material and never entering the United States.

A single surrogacy arrangement could cost anywhere from $100,000 to $250,000, according to American Surrogacy.

Most states do not prohibit foreign nationals from using surrogacy services, and many court proceedings related to parental rights are sealed. There is also no comprehensive mechanism for sharing surrogacy-related data across states, creating regulatory blind spots.

Lin Yan contributed to this report. 

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Does It Get Any More Cringe Than This?

Authored by Steve Watson via Modernity.news,

Just when you thought Gavin Newsom couldn’t get any more cringe, he drops a video with his wife Jennifer Siebel Newsom wishing Californians a “joyful Kwanzaa” – a made-up holiday that’s about as authentic as his political posturing.

In the awkward clip posted to his official X account, Newsom and his wife deliver a rehearsed message stating “As families come together to light the kinara, we wish you all a joyful Kwanzaa.”

Newsom further referenced “the seven principles of Kwanzaa, in particular community, purpose, and unity, guide our way toward a better future.”

Everything about this is focus-grouped and phony. It’s the kind of performative nonsense that turns stomachs and highlights how out-of-touch Democrat leaders remain, even after their electoral drubbing.

Who exactly is Newsom trying to impress here? The video is a blatant pander to an almost nonexistent crowd. The tiny sliver of ultra-woke activists who still cling to outdated identity politics? In reality, most Americans – including the vast majority of African Americans – don’t celebrate Kwanzaa, given that it is an artificial construct rather than a genuine tradition.

What the Hell Is Kwanzaa, Anyway? no, it isn’t some ancient African tradition passed down through generations. It was invented in 1966 by Maulana Karenga, a black separatist and activist, in the wake of the Watts riots. Karenga, whose real name was Ronald McKinley Everett, created it as a non-Christian alternative to Christmas, drawing loosely from various African harvest festivals.

But here’s the kicker: Karenga was later convicted in 1971 of felony assault and false imprisonment for torturing two women in his organization. He served time in prison, yet his fabricated holiday lives on as a symbol of cultural separatism.

Basically the only people actually celebrating this are east coat white ultra woke ‘progressives’ attempting to tick every diversity checkbox possible as they virtue signal their way through life.

Newsom’s stunt reeks of desperation, especially as he eyes a 2028 presidential run. Under his watch, California grapples with skyrocketing homelessness, unchecked crime, and an exodus of residents fleeing his failed policies. Yet here he is, blathering about “unity” while his state fractures under open borders and economic mismanagement.

It’s peak ideological capture: Newsom is so ensnared by leftist dogma that he can’t resist alienating the mainstream. This from the guy who just last month urged his party to dial back the cultural extremism.

Instead of projecting normalcy, he’s amplifying fringe elements that repulse everyday voters. This disconnect only fuels the MAGA surge – Americans crave leaders who prioritise real issues like border security and economic freedom over contrived cultural gestures.

The backlash on X was swift and savage, with users calling out the pandering and fakery.

Aw, c’mon, the wife change out of the ‘colorful’ clothes.

Your support is crucial in helping us defeat mass censorship. Please consider donating via Locals or check out our unique merch. Follow us on X @ModernityNews.

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Blackstone's LivCor Settles DOJ's Alleged Rental Price-Fixing Claims

Authored by Naveen Athrappully via The Epoch Times,

LivCor, one of the largest landlords in the United States, has entered into a proposed consent decree with the Department of Justice (DOJ) to resolve price manipulation claims made by the department, the DOJ said in a Dec. 23 statement.

On Jan. 7, the DOJ announced it was suing tech company RealPage and six landlords, including LivCor, which operates under asset management company Blackstone. The department accused the landlords of using RealPage’s software to participate in algorithmic pricing schemes that harmed renters.

In its latest statement, the DOJ said LivCor and other landlords “shared competitively sensitive data to generate pricing recommendations using RealPage’s algorithms, which also included anticompetitive rules that aligned their pricing.”

“In addition, LivCor and other landlords discussed competitively sensitive topics—including pricing strategies, rents, and selected parameters for RealPage’s software—directly with each other,” it said.

The tactics aimed to decrease competition among landlords with regard to apartment pricing, thereby harming millions of renters in the United States, the DOJ said in January.

RealPage’s actions ended up enriching itself and the landlords “at the expense of renters who pay inflated prices and honest businesses that would otherwise compete,” the department said in its lawsuit.

The proposed consent decree between the DOJ and LivCor prohibits algorithmic coordination and the exchange of sensitive data with competitors.

LivCor is required to refrain from taking part in or attending meetings involving competing landlords that are hosted by RealPage. The company must also cooperate with the United States’ claims against other defendants in the case.

In the case that LivCor uses a third-party pricing algorithm not certified in line with the terms of the consent decree, it must allow a court-appointed monitor, the department said.

The decree must now be approved by the court.

“The Trump-Vance Administration is committed to an economy that works for all Americans,” said Assistant Attorney General Abigail Slater from the DOJ’s Antitrust Division.

“Landlords across America are on notice that the competition laws protect renters from the harms caused by competitors sharing competitively sensitive information or aligning prices, whether through an algorithm or otherwise.”

The Epoch Times reached out to LivCor for comment but did not receive a response by publication time.

The agreement with LivCor follows the DOJ’s obtaining consent decrees from RealPage and two of the landlords from the January complaint—Cortland Management LLC and Greystar Management Services LLC.

RealPage Agreement

RealPage had settled the claims brought by the DOJ last month. According to the proposed content judgment filed on Nov. 24 in a federal court, the company is barred from using competitors’ real-time, nonpublic data to generate rent recommendations.

The decree requires RealPage to remove features from its software that discourage landlords from cutting prices.

Texas-based RealPage denied any wrongdoing and said the agreement provides clarity while avoiding costly litigation. According to the company, the deal includes no admission of liability and carries no financial penalties.

“This resolution marks an important milestone for RealPage, our customers, and the multifamily industry,” said Dirk Wakeham, RealPage president. The company is “part of the solution to addressing the cost of housing,” he said. Moreover, RealPage’s tools help operators make “informed, independent decisions in a complex housing market,” he added.

The company said the agreement formalizes changes that it had been implementing over the past year.

The DOJ said the settlement restores free-market competition for millions of American renters.

Slater criticized RealPage’s system for having replaced independent pricing decisions, and said the deal was a big step in ensuring that rental housing markets remained “fair and competitive.”

“It means more real competition in local housing markets. It means rents set by the market, not by a secret algorithm,” she said. “It is a win for renters, and it means more affordable options for Americans trying to make ends meet.”

Meanwhile, the DOJ recently filed a statement of interest in another case related to protecting the interests of homebuyers in the real estate market, according to a Dec. 19 DOJ statement.

The lawsuit, brought by multiple buyers, accused real estate brokerages and the National Association of Realtors, a trade association of brokerages, of entering into anticompetitive agreements. These deals ended up inflating broker commissions, raising home prices for Americans.

In its statement of interest, the DOJ argued that competition among brokerages is critical to protect American homebuyers.

“Purchasing a home is the single biggest purchase most Americans make in a lifetime,” said Assistant Attorney General Abigail Slater, from the DOJ’s Antitrust Division.

“Today’s soaring housing prices make competition in real estate brokerage more important than ever. Antitrust laws are key to safeguarding competition, which reduces prices and improves services for homebuyers.”

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What Is Wall Street's Favorite Christmas Song

Every year-end, there are heated debates about what is the "best .... of Christmas", especially among those who work in finance. 

Last year, Home Alone, Die Hard, and Love Actually topped the Christmas movie rankings as polled by the 2025 Deutsche Bank Global Markets Survey. This year, the bank returned to the even more contentious topic of favorite Christmas songs.

At a global level, the bank's 2026 Year Ahead Global Markets Survey found that Wham! won again, while regionally, Mariah Carey took the crown in the US, Asia, and the Rest of the World with All I Want For Christmas is You. The full list is in the report.

For the record, Jim Reid - who compiled and published the survey - writes that his top three would have been Wham!, The Pogues, and Joni Mitchell’s River, a smooth progression from the tacky to the tasteful.

In his last note of the year, Reid also listed his favorite TV series, film, and album of 2025: we except it below (full report here)

  • 1. Slow Horses – The best TV series in the world at the moment. Well, until Rivals comes back! I try to model my management technique on Jackson Lamb, if not my personal hygiene.
  • 2. Dept Q – A bit like Slow Horses in that it involves a grumpy, rude police boss with a complicated past. He is of course a tortured genius and the show is gripping.
  • 3. Blue Lights – A brilliant Northern Ireland police drama on its third series with no drop off in quality and heart.
  • 4. Mobland - Helen Mirren and Piers Brosnan do terrible Irish accents in this trashy but fun mob drama. It proved a little light relief when we watched it as Liberation Day rolled through!
  • 5. SAS Rogue Heroes – Dramatised true story about an incredible bunch of elite soldiers who seemingly played a big part in the outcome of WW
  • 6. The White Lotus – I disliked series 1. Series 2 and now series 3 were great. Not at all like my holidays! Apart from the arguments.
  • 7. Karen Pirie – A Scottish police heroine who doesn’t play by the rules but gets results.
  • 8. The Newsreader – A homage to the 1980s. Clever Australian program that follows actual global news stories from the period with a fictitious news studio narrative in a period where TV hosts were the anchors of our lives.
  • 9. The Studio – Comedies tend not to be very good but this is an exception. Self-deprecating look at the life of a Hollywood studio boss. Seth Rogan plays the character you’d expect him to play. Cringeworthily funny.
  • 10. The Beast in Me – Clare Danes gives her usual tour de force and provides all the usual facial expressions to go along with it. A very tense psychological drama. I was a bit scared.
  • 11. All Her Fault – Sarah Snook is the magnetic force in this drama about a missing 6 year old boy.
  • 12. Black Doves - my wife is not a huge fan of Keira Knightley! So I watched while travelling. Enjoyable nonsense.
  • 13. The Diplomat - more enjoyable nonsense I watched while travelling as my wife believed the first series was too absurd to continue with.

Reid's favorite film of the year was "The Ballad of Wallis Island" which was "a life affirming, quirky movie, about a washed up folk pop star who gets booked to do a private gig on a small island at a house of a recluse who won the lottery and bought a place there. It's very good."

His favorite album was Florence and the Machine - Everybody Scream. A dramatic, orchestral, melodic, and confessional mini masterpiece

Finally, for those looking for some light Christmas reading (while escaping from kids or maybe in-laws), DB published its Ultimate Guide to Long-Term Investing (Available to pro subswhich is designed to help everyone put their long-term finances on the firmest footing, which should be a good New Year’s resolution.

More in the full  2026 Year Ahead Global Markets Survey

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Waste Of The Day: Superintendent Resigns, Nets Over $900K

Authored by Jeremy Portnoy via RealClearInvestigations,

Topline: A Long Island school district must pay its superintendent over $907,500 after he resigned without a public explanation this September, according to records obtained by Newsday through a Freedom of Information Law request.

Key facts: The Plainedge Union Free School District paid Edward Salina a $662,352 lump sum for 184 unused sick and personal days and 286.5 unused vacation days.

The district will also pay the remaining $245,185 of Salina’s salary for the 2025-26 school year. The salary is paid in bi-weekly installments, which will end if Salina takes a job at another school, Newsday reported.

Salina’s contract gave him 35 vacation days, 14 sick days and three personal days per year. Unused days were carried over to the next year with no limit.

Waste of the Day 12.23.25 Open the Books

He resigned abruptly on Sept. 12, two weeks into the current school year. The reason remains unknown. He had been superintendent since 2011, and his contract was set to expire in 2029.

What is paid is basically contractual,” school board president Joseph Beyrouty told Newsday. “There's nothing more to it than that.”

The school district is paying District Wise Search Consultants to lead the search for a new superintendent, according to Newsday. The dollar cost is unknown, but District Wise received $261,000 from several Long Island districts since 2020, including $23,000 each from four other Long Island school districts in 2023 for their superintendent searches, according to Open the Books’ data.

Interim Superintendent Carol Muscarella is earning $1,200 per day but will not hold the job permanently, according to Newsday.

It's just to basically keep the lights on and the employees paid. And I think she's done a phenomenal job with that,” Beyrouty said. “As a matter of fact, I think she's even gone above and beyond that and really helped tackle some issues that have come up along the way.”

Search all federal, state and local salaries and vendor spending with the world’s largest government spending database at OpenTheBooks.com

Background: The Plainedge school district had a $50.6 million payroll in 2024, according to Open the Books’ database. Seven employees, including Salina, made more than $200,000. An additional 292 people made $100,000 or more. 

Summary: It’s questionable whether any public employee should receive nearly $1 million in a single year, but paying one who is no longer working and gave no explanation for their departure is especially alarming.

The #WasteOfTheDay is brought to you by the forensic auditors at OpenTheBooks.com

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