After Brazil’s monetarist Finance Minister Henrique Meirelles announced new members of his economics team on Tuesday, Goldman Sachs waxed ecstatic, calling it a “dream team.” Goldman official Alberto Ramos told The Financial Times that the team of “respected, well-trained technocrats,” was an important signal that there will be a dramatic shift in policy, as Rousseff’s “heterodox” policies had turned Brazil into a “basket case.”

Meirelles, referred to as a “super minister” who will wield great power—it was he who announced the team, not interim President Temer—chose Ilan Goldfajn, currently chief economist at Brazil’s largest private bank, Itau Unibanco, as new head of the Central Bank. Most telling about Goldfajn is not that he worked for the IMF and World Bank, but that he previously worked at the Central Bank under Arminio Fraga, George Soros’s former employee at the Quantum Fund, who served as its governor from 1999 to 2003. He also worked for Fraga’s Brazilian investment firm, Gavea Investimentos Ltda.

“You could not ask for a better person” to take this post, Fraga told The Wall Street Journal.

“Orthodox” economist Goldfajn will be in charge of monetary and currency policies, and advocates slashing public spending, “tough inflation targeting” and pension reform to “rebalance” fiscal accounts. Meirelles, who has announced that pension reform is an urgent matter, has created a special task force, led by new Social Welfare Minister Marcelo Caetano, which must come up with a reform proposal within 30 days.

The other dream-team member is Cambridge-trained Mansueto Almeida, Secretary of Economic Monitoring, who previously served as advisor to Temer ally and hardcore monetarist Aecio Neves, who lost to Dilma Rousseff in the 2014 presidential elections.

Meirelles is expected to submit a bill to Congress to amend the Constitution to establish the independence of the Central Bank, arguing that Dilma’s “interference” in the economy helped cause Brazil’s economic downfall. Dilma “strayed from balanced budgets and inflation targeting, in favor of more lax policies aimed at spurring economic growth and expanding social programs that helped lift millions out of poverty,” The Wall Street Journal complained May 17. 

The establishment is quickly discovering that Vladimir Putin is in the process of outflanking Obama’s war plans in Asia, just as he has in the Mideast. The Council on Foreign Relations journal Foreign Affairs this week released a study warning that the visit by Japanese Prime Minister Shinzo Abe to Russia last week, and their extensive agreements on joint development projects in Asia, as well as moves to settle the territorial issues which have prevented a formal peace since World War II, has thrown a huge monkey wrench into Obama’s building of an anti-China bloc to militarily challenge China.

Authors Joshua Walker of the German Marshall Fund (and a former State Department officer), and Hidetoshi Azuma of the American Security Project, describe “an emerging geopolitical reality: no Western leader knows quite what to do about Russia as it wields its strategic influence across Eurasia…. Russia, declining as it might be, is yet a serious Eurasian power to be reckoned with. It can still unilaterally shape geopolitical events across the region, including in eastern Ukraine, Syria, and even Northeast Asia, where it has been building almost 2,500 miles of gas pipelines to China. No other Eurasian powers, not even China, have as much sway there.”

They cry out that “the West has essentially treated Russia as a rival European power, largely failing to manage its Eurasian challenges since 2014…. From Serbia to Afghanistan, Russia is using a combination of energy deals, arms supplies, and covert actions to solidify its stakes in Eurasia’s arc of instability.”

Not only is Putin threatening to destroy Washington’s effort to get Japan’s military on the side of the war on China and Russia, but he even has the gall to speak out on Obama’s provocative operations in the South China Sea: “As Beijing’s latest solicitation for Moscow’s support for its South China Sea policies demonstrates, Russia is also emerging as a significant actor in Asian seas, the stability of which is crucial to European economies.”

Europe has been useless, they complain, since “Europe itself is in a severe crisis, and the West’s narrow focus on Ukraine has hindered its efforts to cope with Russia’s Eurasian challenges.”

The CFR duo rather pathetically portray their interest in getting Japan to bring the United States and Russia together — but give it away by claiming that the basis for cooperation is “the rise of China, where Russian and Western interests are aligned.”

As Obama heads to Japan next week, the British Empire is once again running into Putin’s brilliant strategic moves, countering development to Obama’s bloody geopolitics.

The 9/11 Families and the September 11 Advocates issued a joint statement Tuesday denouncing President Obama’s decision that he would “kill” or veto JASTA (Justice Against Sponsors of Terrorism Act), which would allow the 9/11 families to sue foreign states which funded and sponsored the 9/11 terrorists.

JASTA passed the U.S. Senate by acclamation May 17. The White House then announced Obama’s intentions, and Republican House Speaker Paul Ryan stated that he had not made up his mind about the bill, preferring to send it to Committee, where most bills die. Rep. Peter King (R-NY) is leading the drive for it.

The 9/11 Families and the September 11 Advocates responded with their own statement:

“Regarding the passage of JASTA today in the U.S. Senate, we would like to sincerely thank Senator John Cornyn (R-TX) and Senator Chuck Schumer (D-NY) for their dedication and support. Their wisdom and leadership has demonstrated an understanding of the need to hold those responsible for funding terrorism accountable. Without accountability, there can be no justice. We look forward to members of the House joining with the Senate in demonstrating that same level of wisdom and leadership. In this time of angry partisan fighting, it is gratifying to see Senators from both parties joining together to fight terrorism in accordance with our legal principles. Ultimately, we hope to see this important legislation on the desk of President Obama for his swift signature.

“In light of that goal and in direct response to the Obama Administration’s statement today that they still, “strongly continue to oppose this legislation,” and that they may, `seek additional changes to the measure or try to get it killed in the House,’ we would like to respectfully request that the Administration refrain from using such violent language when opposing legislation specifically designed and intended to help victims of terrorism.

“For us, whose loved ones were killed, there is simply no room for the word `killed’ in this dialogue. Obama and his speechwriters and spokespeople ought to know that. Moreover, we would also like to encourage President Obama to recalibrate his priorities by placing American citizens and victims of terrorism ahead of nations like the Kingdom of Saudi Arabia who fund terrorists that want to kill Americans.  We are tired of witnessing President Obama block our path to justice. We do not appreciate such behavior being exhibited by a President who has the audacity to pride himself on holding such lofty principles of constitutionality, openness, transparency and accountability — not to mention being a recipient of the Nobel Peace Prize.

“Furthermore, over the weekend, at Rutgers University, President Obama stated the following: `In politics and in life, ignorance is not a virtue. It’s not cool to not know what you’re talking about. That’s not keeping it real or telling it like it is.’ In the spirit of keeping things real, we would like to draw Mr. Obama’s attention to his own deliberate decision not to read the 28 pages of the Joint Inquiry of Congress’ Final Report into the 9/11 attacks. Perhaps if Mr. Obama had bothered to read the 28 pages, he would more rightfully comprehend and appreciate the need for JASTA. Ignorance is NOT bliss….  “

Kristen Breitweiser
Patty Casazza
Monica Gabrielle
Mindy Kleinberg
Lorie Van Auken