On Friday at 8:30 AM ET, the BLS will release the employment report for December. The consensus is for 55,000 jobs added, and for the unemployment rate to decrease to 4.5%. There were 64,000 jobs added in November, and the unemployment rate was at 4.6%.

From Goldman Sachs:

We forecast that payrolls rose 70k (vs. 55k consensus) in December and the unemployment rate fell to 4.5% (vs. 4.5% consensus). ... We expect the unemployment rate to edge down to 4.5% because the increase to 4.6% in November largely reflected the impact of furloughed federal government workers during the shutdown.
emphasis added

From BofA:

Dec NFP are likely to tick up to a stable 70k (private: 75k) print, higher than consensus expectations. Initial claims remain low and continuing claims have trended lower since Oct. Education & health jobs should remain the driver of payroll growth. Given the strength in air travel and holiday spending, we project a rise in leisure & hospitality jobs. After the u-rate jumping to 4.6% in Nov, in part due to shutdown-related distortions, we expect a decline to 4.5%. It is likely that the worst is behind us in the labor market.

• ADP Report: The ADP employment report showed 41,000 private sector jobs were added in December.  This was slightly below consensus forecasts.  However, in general, ADP hasn't been very useful in forecasting the BLS report.

• ISM Surveys: Note that the ISM indexes are diffusion indexes based on the number of firms hiring (not the number of hires).  The ISM® manufacturing employment index increased to 44.9%, up from 44.0% the previous month. This suggests manufacturing jobs lost in December. The ADP report indicated 5,000 manufacturing jobs lost in December.

The ISM® services employment index increased to 52.0%, up from 48.9%.  This suggests job gains in December.  

• Unemployment Claims: The weekly claims report showed about the same number of initial unemployment claims during the reference week at 224,000 in December compared to 222,000 in November.  This suggests about the same number of layoffs in December as in November.

• Conclusion: Over the last 6 months, employment gains averaged 17 thousand per month.  The ADP report, the ISM Surveys, and unemployment claims suggest similar gains in December compared to November.   I'll take the over for December - but still weak hiring.

From Manheim Consulting today: Manheim Used Vehicle Value Index: December 2025 Trends

The Manheim Used Vehicle Value Index (MUVVI) rose to 205.5, reflecting a 0.4% increase for wholesale used-vehicle prices (adjusted for mix, mileage, and seasonality) compared to December 2024. The December index is up 0.1% month over month.
emphasis added

Click on graph for larger image.

This index from Manheim Consulting is based on all completed sales transactions at Manheim’s U.S. auctions.

The Manheim index suggests used car prices increased in December (seasonally adjusted) and were up 0.4% YoY.

The post Donald Trump’s $6 Trillion Tax Hike and Increase in Military Spending appeared first on CEPR.

The Census Bureau and the Bureau of Economic Analysis reported:

The U.S. Census Bureau and the U.S. Bureau of Economic Analysis announced today that the goods and services deficit was $29.4 billion in October, down $18.8 billion from $48.1 billion in September, revised.

October exports were $302.0 billion, $7.8 billion more than September exports. October imports were $331.4 billion, $11.0 billion less than September imports.
emphasis added

Click on graph for larger image.

Exports increased and imports decreased in October. 

Exports were up 12% year-over-year; imports were down 4% year-over-year.
Imports increased sharply earlier this year as importers rushed to beat tariffs.  

The second graph shows the U.S. trade deficit, with and without petroleum.

The blue line is the total deficit, and the black line is the petroleum deficit, and the red line is the trade deficit ex-petroleum products.

Note that net, exports of petroleum products are positive and have been increasing.

The trade deficit with China decreased to $14.9 billion from $28.1 billion a year ago.

The DOL reported:

In the week ending January 3, the advance figure for seasonally adjusted initial claims was 208,000, an increase of 8,000 from the previous week's revised level. The previous week's level was revised up by 1,000 from 199,000 to 200,000. The 4-week moving average was 211,750, a decrease of 7,250 from the previous week's revised average. This is the lowest level for this average since April 27, 2024 when it was 210,250. The previous week's average was revised up by 250 from 218,750 to 219,000.
emphasis added

The following graph shows the 4-week moving average of weekly claims since 1971.

Click on graph for larger image.

The dashed line on the graph is the current 4-week average. The four-week average of weekly unemployment claims decreased to 211,750.

This was slightly above the consensus estimate.

My morning train WFH reads:

• The Great Credit Convergence: How public and private credit are now one market (Paul Kedrosky)

• The Emperor’s New Oil Wealth: You may have heard that Venezuela has the world’s largest oil reserves — 300 billion barrels. You probably don’t know that Venezuela’s reported oil reserves tripled while Hugo Chavez was president. This increase, from roughly 100 billion to 300 billion barrels, didn’t reflect major new discoveries or exploration — it reflected the Chavez government’s decision to reclassify the country’s Orinoco Belt heavy oil as “proved.” It is not… (Paul Krugman) see also On the Legality of the Venezuela Invasion: Executive branch precedents can be garnered to support the action—which does not, of course, mean that it is lawful. (Executive Functions)

• A tale of two Ralphs — Lauren and the supermarket — shows the reality of a K-shaped economy: Wealthy shoppers browse Ralph Lauren on Rodeo Drive while struggling consumers hunt for bargains at Ralphs grocery, revealing America’s stark wealth divide this holiday season. The K-shaped economy shows high-income households thriving with rising pay and asset gains while lower-income families squeeze budgets amid inflation and stagnant wages. (Los Angeles Times)

• America Is Falling Out of Love With Pizza: Restaurant chains explore strategy changes as sales slow for food-delivery mainstay. (Wall Street Journal)

• A Risk of Cognitive Convenience: What ChatGPT and GPS have in common. (Range Widely)

• Disgust Over Jan. 6 Is No Longer Bipartisan. The aftermath of Jan. 6 made the Republican Party even more feckless, beholden to one man and willing to pervert reality to serve his interests. Once Mr. Trump won election again in 2024, despite his role in encouraging the riot and his many distortions about it, it emboldened him to govern in defiance of the Constitution, without regard for the truth and with malice toward those who stand up to his abuses. (New York Times) see also Five years later, these 10 corporations still aren’t funding election deniers. On January 6, 2021, a violent mob stormed the Capitol building. Following the attack, over a hundred major companies released statements condemning the insurrection and promising to stop donating to the 147 members of Congress who voted to overturn the 2020 election, or to halt all political donations entirely. (Popular Information)

• Why Trump wants Greenland and what’s standing in his way: Denmark’s leader warned that any use of force by Washington to seize Greenland, as Trump officials have suggested, would render the postwar NATO alliance defunct. (Washington Post)

• Millions of Kids Are on ADHD Pills. For Many, It’s the Start of a Drug Cascade. Powerful psychotropic drugs are often the next step, even though their combined effects in young children haven’t been studied closely. ‘I was living in a body hijacked by the medication.’ (Wall Street Journal)

• Nine science-backed ways to help you feel better in 2026. From channelling your anger to writing lists and singing more often – here are some science-backed tips to boost your wellbeing. (BBC) see also The New Rules Of Good, Deep Sleep Will Help You Feel More Rested And Energetic: Spoiler: Quality may be more important than quantity. (Women’s Health)

• The Worst Shot Ever Taken: The author and his closest basketball confidantes undertake a formal analysis of Steph Curry’s shot at the Paris Olympics as art object (The Believer)

Be sure to check out our Masters in Business interview this weekend with Ben Hunt, founder of Perscient, a firm that studies how narratives and stories shape markets, investing, and social behavior through the lens of information theory, game theory, and unstructured data analysis. His work analyzes the language, story arcs, and viral spread of explanations in media

 

Why Trump wants Greenland and what’s standing in his way

Source: Washington Post

 

Sign up for our reads-only mailing list here.

 

The post 10 Thursday AM Reads appeared first on The Big Picture.

Military Spending Is On The Rise In Asia

Over the past five years, military expenditure in Asia has climbed sharply, reflecting escalating regional tensions and global security concerns. According to the most recent SIPRI data, major military spenders in the region, such as China, India, Saudi Arabia, Japan and Taiwan, have significantly boosted their defense budgets.

As Statista's Tristan Gaudiat details below, China remains the region's top spender: according to SIPRI estimates, its military budget has grown by more than 20 percent between 2020 and 2024, reaching around 320 billion dollars (constant 2023 prices and exchange rates). Chinese military expenditure is driven by the country's armed forces modernization and territorial ambitions.

You will find more infographics at Statista

India, facing border disputes and maritime challenges, has increased its spending by 8 percent over the same period. Prioritizing technological advancement and self-reliance, the Indian army's budget reached 84 billion dollars in 2024.

Just behind, with a budget of 79 billion dollars, Saudi Arabia has increased its spending by 13 percent since 2020, amid growing instability in the Middle East.

Meanwhile, in East Asia, Japan has accelerated defense investments by over 40 percent between 2020 and 2024. Its military budget, 58 billion dollars, now surpasses that of its Western neighbor, South Korea (48 billion dollars in 2024, +4 percent from 2020), amid North Korea's missile threats and China's military assertiveness.

Taiwan, under constant pressure from Beijing, saw a 37 percent increase over the last five years on record, focusing on asymmetric defense capabilities.

Tyler Durden Thu, 01/08/2026 - 05:45

Bus Drivers Arrested For Earning Up To €50k-A-Year Cash Transporting Illegals Between France And Spain

Authored by Thomas Brooke via Remix News,

Spanish police have arrested 15 international bus drivers in Barcelona, accused of transporting illegal migrants between France and Spain in exchange for cash, exploiting their access to regular cross-border routes, according to reports by El País.

The Spanish National Police said the drivers used their positions on international services, particularly the Paris–Barcelona route, to bring “undocumented or visa-less foreigners into the country in exchange for money,” describing the scheme as “a new type of illicit human trafficking in the international land transport sector,” as reported by Le Parisien.

Migrants paid between €20 and €400 to travel without identity documents, without a valid ticket, or using tickets issued in someone else’s name, and bus drivers received payment to turn a blind eye.

According to the police statement, the drivers coordinated with intermediaries operating in bus stations and outside transport companies, who arranged payments and ensured migrants were allowed to board vehicles. Those arrested are being prosecuted on charges of aiding and abetting illegal immigration.

The investigation began in March 2025 and uncovered a network involving not only drivers but also auxiliary staff linked to private transport companies. Police said those involved “took advantage of their access to European routes” to facilitate the irregular movement of migrants between Spain and France, earning some drivers as much as €50,000 per year.

Investigators also identified recruiters operating outside transport companies who negotiated payments with drivers and helped migrants board buses using false, manipulated, or no documents at all.

The operation was carried out in cooperation with French authorities, with police checks conducted in La Jonquera, Irún, Madrid, Barcelona, and Murcia.

The dispersal across Europe of migrants residing in Catalonia will be cause for concern to many, in light of recent reports detailing no-go zones for police officers in the region.

In September last year, Torelló, a town in the Osona region of Catalonia, faced growing insecurity after a leaked recording revealed local police officers acknowledging they are unable to control violent migrant groups gathering in certain areas, and have been laughed at and forced to retreat from dispatch calls.

The audio, verified by authorities and reported by ElCaso.cat, captured an officer telling a resident that police cannot act against migrant rioters due to insufficient resources.

“They are laughing at us,” the officer said in the call. “They are throwing us out. If we don’t want to get hurt, we too [must leave],” he added, describing how officers had to withdraw after being met with hostility.

While net migration to Spain and its islands was down last year, according to Frontex, huge numbers have already crossed and are now contributing to integration concerns. Despite numbers being down, Spain’s socialist government remains committed to importing newcomers.

In September, it began the gradual transfer of more than 600 Moroccan minors from the North African enclave of Ceuta to different regions on the mainland.

The decision has reignited debate in Madrid over how to manage unaccompanied minors entering the country, as new figures revealed just 41 of the nearly 30,000 minor arrivals since 2018 have been repatriated.

With an increase in internal illegal migration routes within the European Union itself, keeping tabs on new arrivals will become increasingly more problematic.

Read more here...

Tyler Durden Thu, 01/08/2026 - 05:00

US To Withdraw From 66 International Bodies, Treaties

The Trump administration withdrew the United States from 66 international organizations, conventions, and treaties that it said go against the country’s interests, the White House announced on Jan. 7.

According to the presidential memorandum, 31 entities were tied to the United Nations, while 35 others were not.

“The Trump Administration has found these institutions to be redundant in their scope, mismanaged, unnecessary, wasteful, poorly run, captured by the interests of actors advancing their own agendas contrary to our own, or a threat to our nation’s sovereignty, freedoms, and general prosperity,” Secretary of State Marco Rubio wrote in a statement shortly after the list was revealed.

“President [Donald] Trump is clear: It is no longer acceptable to be sending these institutions the blood, sweat, and treasure of the American people, with little to nothing to show for it. The days of billions of dollars in taxpayer money flowing to foreign interests at the expense of our people are over.”

As Jacki Thrapp reports for The Epoch Times,The State Department was ordered to review the international intergovernmental organizations that “no longer serve American interests” in February 2025, per an executive order ​signed by President Donald Trump.

Rubio accused many entities of being “often dominated by progressive ideology and detached from national interests.”

“From DEI mandates to ‘gender equity’ campaigns to climate orthodoxy, many international organizations now serve a globalist project rooted in the discredited fantasy of the ‘End of History.’

“These organizations actively seek to constrain American sovereignty. Their work is advanced by the same elite networks—the multilateral ‘NGO-plex’—that we have begun dismantling through the closure of [the United States Agency for International Development].”

The U.N.-related entities that the Trump administration withdrew from include the Department of Economic and Social Affairs, International Law Commission, International Trade Centre, Peacebuilding Commission, Peacebuilding Fund, U.N. Democracy Fund, U.N. Energy, U.N. Entity for Gender Equality and the Empowerment of Women, and U.N. University.

The non-U.N. organizations included the 24/7 Carbon-Free Energy Compact and the Commission for Environmental Cooperation.

The memorandum cited over two dozen “hybrid threats,” such as the Forum of European National Highway Research Laboratories and the Global Community Engagement and Resilience Fund.

Wednesday’s memorandum came less than a year after Trump withdrew the United States from the UN Human Rights Council.

On Feb. 4, 2025, the same day the White House assigned Rubio to investigate the international organizations, Trump signed an executive order exiting from the U.N. Human Rights Council. At the time, Trump said it “has not fulfilled its purpose and continues to be used as a protective body for countries committing horrific human rights violations.”

The White House expanded on those issues, such as allowing China and Iran to be in the council despite their violations, and alleged there was bias against Israel.

Tyler Durden Thu, 01/08/2026 - 04:15

How Chinese-Made Radar Defense Systems Failed In Venezuela

Authored by Sean Tseng via The Epoch Times (emphasis ours),

U.S. forces stormed into Venezuela before dawn on Jan. 3 and captured Venezuelan leader Nicolás Maduro and his wife, Cilia Flores, in a lightning operation that punched in and out of Caracas before its air defenses could mount an effective response.

Illustration by The Epoch Times, Imaginechina/Alamy, public domain, Freepik, The White House

The operation resulted in no U.S. fatalities and no loss of U.S. military equipment, U.S. officials said.

The U.S. mission—code-named Operation Absolute Resolve—has quickly become more than a political shockwave. Analysts have said it was also a real-world test of U.S. military power against a country that has spent years buying Chinese- and Russian-made air-defense systems and showcasing them as proof that it could deter Washington.

The raid raised uncomfortable questions for Beijing about the limits of the Chinese-supplied systems that Venezuela has leaned on—especially “anti-stealth” radar that China advertised as capable of spotting and stopping U.S. stealth aircraft, a military analyst said.

The analyst told The Epoch Times that the most damaging takeaway for China isn’t the failure of a single piece of equipment—it’s what the operation suggested about deeper weaknesses: corruption in China’s defense industry and lack of reliability of the technology and command structure meant to tie those systems together.

“A system built to look modern on paper and intimidating in propaganda falls apart under the demands of real combat,” said Yu Tsung-chi, a retired major general from Taiwan and former president of the Political Warfare College at Taiwan’s National Defense University.

He said Beijing’s performance claims often lean more on messaging than combat validation.

China condemned the capture of Maduro and accused Washington of acting as a “world judge,” in a blunt response that underscored how closely Beijing saw the fallout tied to its influence and credibility in Latin America.

Operation Measured in Hours

President Donald Trump ordered the operation at 10:46 p.m. ET on Jan. 2, Chairman of the Joint Chiefs of Staff Gen. Dan Caine said.

Aircraft launched from about 20 land and sea bases across the Western Hemisphere, and the helicopter force approached Venezuela at roughly 100 feet above the water to maintain the element of surprise.

Within five hours, by 3:29 a.m. ET, U.S. forces had Maduro and Flores aboard the USS Iwo Jima, an amphibious assault ship. They were then flown to the United States.

This illustration depicts Caracas and the states in which the Venezuelan regime said U.S. military strikes occurred before the capture of Venezuelan leader Nicolás Maduro and his wife on Jan. 3, 2025. Anika Arora Seth, Phil Holm via AP(Left) The Fuerte Tiuna neighborhood of Caracas, Venezuela, on Dec. 22, 2025. (Right) The same neighborhood after U.S. strikes on Jan. 3, 2026. U.S. forces carried out a pre-dawn raid in Caracas, capturing Venezuelan leader Nicolás Maduro and his wife, Cilia Flores, and flying them to the United States to face federal charges. ©2026 Vantor via AP

U.S. officials said the operation involved more than 150 aircraft along with integrated electronic attack and nonkinetic effects from U.S. Cyber Command, Space Command, and other assets to suppress Venezuelan defenses and clear a path for the helicopters.

Briefings described a layered effects approach: bombers, fighters, surveillance and reconnaissance aircraft, electronic warfare jets, and drones overhead; space and cyber support to disrupt Venezuelan systems; and strikes intended to dismantle and disable air defenses as helicopters closed on Caracas.

According to officials, aircraft used in the operation included B-1B bombers, F-22 Raptors, F-35 Lightning II fighters, EA-18G Growler electronic attack jets, E-2 Hawkeye early warning aircraft, and numerous drones alongside transport and helicopter assets.

(Top Left) A B-1B Lancer flies over the Pacific Ocean during a Bomber Task Force mission on June 20, 2022. (Top Right) Royal Australian Air Force (RAAF) F-35A Lightning IIs receive fuel from a RAAF KC-30A Multi-Role Tanker Transport over Australia during Talisman Sabre 23 on July 23, 2023. (Bottom Left) An RAAF EA-18G Growler takes off from Amberley, Australia, for a mission during Red Flag 23-1 at Nellis Air Force Base, Nev., on Jan. 24, 2023. (Bottom Right) An E-2C Hawkeye assigned to the Greyhawks of Carrier Airborne Early Warning Squadron (VAW) 120 flies over Jacksonville, Fla., in this file image. Master Sgt. Nicholas Priest/U.S. Air Force; Tech. Sgt. Eric Summers Jr./CC-PD-Mark; William R. Lewis/U.S. Air Force/Public Domain; Lt. j.g. John A. Ivancic/U.S. Navy China’s Systems

For years, Venezuela has spent heavily on Chinese and Russian equipment while claiming that it was building one of the region’s most modern defense systems.

In recent months, reports have highlighted Venezuela’s installation of Chinese-made JY-27A radar units, marketed as able to detect “low-observable” aircraft—exactly the kind of system meant to complicate U.S. operations involving stealth platforms.

That promise did not hold on Jan. 3.

Yu said neither Chinese nor Russian air-defense systems “made the slightest bit of difference” once the United States brought real-time intelligence, electronic warfare, and precision weapons to bear.

The real contest, he said, wasn’t just radar range or missile specs, but a fast chain of detection, communications, decision-making, and joint execution—exactly where weaker militaries tend to break.

Beyond radar, Venezuela has also displayed and fielded Chinese-made ground systems that Beijing has marketed abroad—from VN-16 amphibious assault vehicles and VN-18 infantry fighting vehicles to Chinese rocket artillery systems.

Venezuelan parades in recent years have showcased those platforms as symbols of a growing partnership and a tougher military posture.

But Yu said glossy displays don’t matter much if the wider network—sensors, communications, command, training, and logistics—can’t hold up under pressure.

A view of telecommunications antennas in El Volcan in Caracas, Venezuela, on Jan. 5, 2026. El Volcan was one of the first points of attack during the Jan. 3 capture of Venezuelan leader Nicolás Maduro by U.S. forces. Carlos Becerra/Getty Images Parades Versus Combat Reality

Yu said the U.S. raid on Caracas exposed the limits of China’s propaganda-first military culture—one that rewards polished demonstrations more than hard, repeated combat validation.

He said the People’s Liberation Army (PLA) has not fought a major war since 1979, and it studies foreign conflicts in part because it lacks large-scale, recent battlefield feedback of its own.

“You can look perfectly aligned and advanced on a parade ground,” Yu said, “but without real combat to back it up, it’s all just stage effects.”

Read the rest here...

Tyler Durden Thu, 01/08/2026 - 03:30

Hungary Won't Leave The EU, It Will Fall Apart On Its Own, Orbán Says

Hungarian Prime Minister Viktor Orbán said that Hungary would not leave the European Union, which instead would "fall apart on its own" due to "leadership chaos" and said Brussels aimed to cut Hungary off from Russian energy supplies during a press conference on Monday. 

As EuroNews reports, Orbán rejected the possibility of Hungary leaving the EU, saying the country lacked the size to make such a decision sensible. However, he stressed Hungary's future lay within the bloc and NATO but with "a sovereign foreign policy and economic policy". He said: "EU membership is an important opportunity, but if we were to get stuck in this single bloc, we would drink the juice. It makes sense to have the best possible relations with all blocs, including America, Russia, China, the Arab world and the Turkish world."

Orbán has clashed repeatedly with Brussels over rule of law concerns, blocked EU support to Ukraine and maintained ties with Moscow despite all his European peers blacklisting Putin. In return, the EU has withheld billions of euros in funding for what it claims is "democratic backsliding" in Hungary.

On energy policy, Orbán said Brussels aimed to cut Hungary off from Russian oil and gas supplies. He said the government was defending itself through legal action against the European Commission while politically opposing EU regulations, hoping sanctions would be lifted by 2027, when the war ends.

Hungary has secured exemptions from EU sanctions on Russian energy and remains heavily dependent on Russian oil and gas.

Orbán said US President Donald Trump's seizure of Venezuela's Nicolas Maduro marked a new era in international politics, claiming the operation could allow the US to control up to half the world's oil reserves.

He told reporters that 2025 had been "a very eventful year" and Trump's inauguration "gave the coup de grace" to what he called the "liberal world order". He said the new era is "the era of nations" and described himself as a harbinger of this shift since 2010.

On Venezuela, Orbán said the US military operation represented "a powerful manifestation of the new world".

"Together with Venezuela, the United States can control 40-50% of the world's oil reserves, a force capable of significantly influencing the price of energy on the world market." He added that this could benefit Hungary by creating cheaper global energy prices.

Orbán has cultivated close ties with Trump and is one of the few European leaders to openly support the US military action in Venezuela, which most EU member states have criticised as violating international law.

Orbán said Hungary would not provide financial support to Ukraine, stating, "We have money if we don't give it to others, so we are not giving our money to Ukraine."

"We are not giving them a loan either, because everyone knows that the Ukrainians will not pay it back," he added.

Hungary has been the primary obstacle to EU military and financial support for Ukraine since Russia's full-scale invasion in early 2022, forcing the 27-member bloc to find workarounds to bypass Budapest's vetoes.

On migration, Orbán said Hungary would not accept Brussels dictating "who we should live with", rejecting an EU regulation due in June requiring member states to admit 350 people and process over 20,000 applications.

Hungary has refused to participate in EU asylum schemes and built border fences to keep out migrants, leading to ongoing legal battles and trading barbs with Brussels.

Asked about a reported financial agreement with Trump, Orbán confirmed: "I asked for it, we agreed that there would be one."

Trump denied Orbán's previous claims about such an agreement, telling Politico in November: "I didn't promise him anything like that, but he asked me very much."

Meanwhile, the Hungarian PM said details of the "defense shield" were still being worked out, adding Hungary has needed "some kind of protective shield" since World War I and "cannot rely on Brussels".

Orbán said he would not debate Tisza party leader Péter Magyar in the April elections, claiming he could only debate with "sovereign people" and that "those who have masters abroad are not sovereign". He said his ruling party, Fidesz, aimed to repeat its 2022 election result.

Magyar and his party have surged in polls and pose the most substantial electoral challenge to Orbán's rule in two and a half decades. Orbán has governed Hungary since 2010 and is the EU's longest-serving leader among the current heads of state.

Tyler Durden Thu, 01/08/2026 - 02:45

Germany's Deindustrialization: Capital Flight, Green Policy, And The Point Of No Return

Submitted by Thomas Kolbe

The German Chamber of Industry and Commerce (DIHK) sees the German economy in a prolonged phase of deindustrialization. Together with the Federation of German Industries (BDI), the chamber reiterates calls for far-reaching reforms to boost growth and investment. Yet both associations still shy away from touching the golden calf of the green transformation.

Germany’s economic crisis continues into the new year without interruption. A survey conducted by the DIHK among 23,000 member companies found that only one in six firms expects an economic upswing in 2026.

Twenty-five percent of companies are planning further job cuts, and only one third intend to make growth investments. For DIHK President Helena Melnikov, the situation is dramatic. If policymakers fail to act decisively, Germany faces a further massive loss of value creation and jobs, Melnikov warns. As before, the DIHK locates the core of the economic decline in German industry. According to chamber calculations, the sector has shed around 400,000 jobs since 2019.

This weighs particularly heavily because these positions are typically well-paid and highly skilled. Their value creation reverberates throughout Germany’s economic structure—among industry-related services, regional trade, and ultimately public finances.

As a result, municipal treasurers in industrial crisis hubs are increasingly confronted with insoluble challenges amid growing budget deficits. In cities such as Stuttgart, Erlangen, Wolfsburg, and elsewhere, business tax revenues are now visibly shrinking.

Reality Denied

Existing reforms are failing to reach companies, Melnikov warns, pointing to high labor and energy costs. The BDI likewise called 2026 a “year of reforms” in comments to Reuters.

All of this is correct. And yet the question remains why leading figures of German business still lack the courage to openly criticize government policy and finally bury the visibly failed project of greening German society.

We are witnessing a monumental failure of the economic elite—if it can even still be called that. The deindustrialization diagnosed by Melnikov is simply denied by large parts of the mainstream press as well as by policymakers. And yet the numbers speak clearly.

It is not yet fully clear how large capital outflows were last year. In 2024, net direct investment outflows amounted to €64.5 billion; in 2023 they exceeded €100 billion. Previous years were likewise marked by sustained capital flight.

Those who can are heading for the exits—fleeing green regulatory policy, high fiscal burdens, and the economic devastation inflicted on companies by Germany’s energy transition.

Calls for sweeping reductions in bureaucracy also naturally feature on the list of location weaknesses. A perennial political evergreen—and a hollow demand in light of the massively increased pace of state intervention. The state will have to create tens of thousands of new public-sector jobs, at its development banks such as KfW and the state banks, in order to weave the flood of cheap credit into the arteries of the economy.

On massive state intervention, business prefers to remain silent. Companies take what they can get. There is no talk of criticizing market distortions or the systematic crowding-out of the private sector from capital markets by the state.

For the current year, the DIHK expects officially reported GDP growth of 0.7 percent. However, this figure includes net new public borrowing—including special funds—of around 5.5 percent, with a state share exceeding 50 percent of GDP. The private sector, by contrast, is likely to shrink by roughly four percent.

Political room for maneuver is narrowing. Flight to the capital markets appears to be the last remaining way to buy time and maintain the illusion of social and economic stability through ever new subsidy programs.

Location Patriotism Meets Reality

And before the first patriotic crocodile tears are shed: every plant manager, CEO, capital-rich fund, individual investor, and family office will have carefully weighed its judgment on the destructive political framework conditions in Germany and the EU—and will not turn away from the location without reason.

Insisting on location patriotism, after decades of deliberate erosion of patriotic sentiment, German traditions, and culture by the political apparatus and its associated media empire, is at best infantilizing—more bluntly put: cynical.

Federal Chancellor Friedrich Merz and his finance minister Lars Klingbeil, for their part, have not hesitated in the past to play the patriotism card more or less openly when it came to the accelerating departure of German companies.

In October, Klingbeil, in a display of helplessness, publicly called on business at the IGBC trade union congress in Hanover to commit to the location and safeguard jobs.

A cheap media stunt, as Klingbeil is fully aware that energy-intensive production can no longer be defended at the German location, and that the policy of green transformation deliberately and systematically pushes industrial production abroad—or increasingly into insolvency.

The narrative of a lack of loyalty to the location is now firmly established. It shows that politics has already identified its scapegoats—entrepreneurs and investors who are to be publicly blamed for the country’s economic decline. They are henceforth portrayed as irresponsible profiteers abandoning employees, society, and the community in the pursuit of supposed profit maximization.

The depth of the ongoing recession and the now unmistakable deindustrialization of the country make it increasingly likely, week by week, that a point of no return—an economic tipping point—has already been crossed.

German society is therefore left with essentially two options. Either it falls for the rhetorical tricks of the central planners around Friedrich Merz and Lars Klingbeil, accepts further nationalization and the construction of centrally planned artificial economies such as a war economy or a leaden eco-industry. Or it eventually broadens its horizon, returns to the principles of the free market economy, and accepts the social pain that any genuine transformation for the better must necessarily entail at the outset.

* * * 

About the author: Thomas Kolbe, born in 1978 in Neuss/ Germany, is a graduate economist. For over 25 years, he has worked as a journalist and media producer for clients from various industries and business associations. As a publicist, he focuses on economic processes and observes geopolitical events from the perspective of the capital markets. His publications follow a philosophy that focuses on the individual and their right to self-determination.

Tyler Durden Thu, 01/08/2026 - 02:00

Waste Of The Day: Grants For Winter Heating Bills Are Missing

Authored by Jeremy Portnoy via RealClearInvestigations,

Topline: The nonprofit New Opportunities, Inc. used $2.8 million in taxpayer funds meant for low-income families’ heating bills on its own operating expenses, according to the Connecticut Office of Policy and Management.

In a Dec. 22 letter obtained by CT Insider, CT Mirror and more, OPM Secretary Joshua Wojcik claims New Opportunities admitted to “impermissibly” using grant funds "to provide fiscal support for other organizational operations."

Key facts: New Opportunities was founded in 1964 and now helps administer Connecticut’s federally funded Energy Assistance Program, which helps families earning 60% or less of the state median income pay their heating bills over the winter. 

The federal Administration for Children and Families, part of the U.S. Department of Health and Human Services, gives grant funding to Connecticut, which in turn sends it to nonprofits like New Opportunities. The nonprofits then pay energy companies to deliver oil, natural gas or another heat source to low-income families.

According to Wojcik’s letter, New Opportunities recently sent three checks worth $2.8 million to the energy company Eversource to pay for natural gas. The checks bounced when Eversource tried to cash them because New Opportunities had already used the grant money for unrelated expenses, and there were not enough funds left in its account. That is a violation of state and federal contracting rules, according to CT Mirror.

New Opportunities later paid Eversource $1.2 million of the balance, but $1.6 million was still missing as of Dec. 22.

Connecticut’s Department of Social Services barred New Opportunities from the Energy Assistance Program in the towns of Waterbury, Meriden and Torrington, CT Mirror reported. Wojcick also plans to appoint a representative to oversee all of New Opportunities’ spending and fire any board member who fails to “ensure that State or Federal funding was used for their intended purposes,” according to his letter.

Background: New Opportunities is almost entirely taxpayer-funded. It received $38.8 million in government grants in fiscal year 2024 from Connecticut, the U.S. Department of Agriculture and more, but only $995,000 from private grants and $1,700 from fundraising events, according to its most recent 990 tax form.

The nonprofit operated at a deficit of $1.6 million that year, according to an independent audit reviewed by the CT Mirror, which found there is “substantial doubt” about the nonprofit’s ability to remain solvent. 

President and CEO William Rybczyk still collected a $267,000 salary, part of over $12 million spent on payroll and benefits, the 990 form shows. Former President James Gatling, who retired in 2021, still earned over $100,000 in fiscal year 2024. 

Office expenses cost $480,000, and employee travel cost $427,000. The nonprofit runs food production and early childhood education programs in addition to its energy assistance program.

In fiscal year 2025, the nonprofit accepted $26.4 million from the State of Connecticut, according to records obtained by Open the Books.

Summary: The federal government has already approved $3.7 billion for Energy Assistance Programs around the country in 2026. As always, it’s vital that the government tracks every penny to ensure it reaches the families it’s intended for.

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

Tyler Durden Wed, 01/07/2026 - 23:20

Zelensky Calls On Trump To Topple Chechen Leader After Maduro

Suddenly everyone wants to enter the regime change business, as various country names and 'rogue' leaders are now being casually thrown around in conversations of "who's next" for Trump to take out.

Ukrainian President Volodymyr Zelensky has joined in. He's now urging the United States to pressure Russia by "carrying out some sort of operation" against Chechen head Ramzan Kadyrov (and staunch Putin-ally) from power.

Source: Ramzan Kadyrov/Telegram

Zelensky drew direct comparisons with Trump overthrowing Venezuelan leader Nicolás Maduro. According to the quite provocative Wednesday comments, Zelensky said that removing Kadyrov would make Russian President Vladimir Putin "think twice" about keeping the war in Ukraine going.

"They need to put pressure on Russia. They have the tools, they know how. And when they really want to, they can find them," Zelensky said of the US under Trump.

"Here's an example with Maduro. They carried out an operation... Everyone can see the result, the whole world can see. They did it promptly. Let them carry out some sort of operation with, what's his name - Kadyrov," Zelensky said.

Earlier, Zelensky went so far as to "joke" that Putin himself should also be targeted in a Washington decapitation operation.

"If you can do that with dictators, then the United States knows what to do next," he said at a presser from his capital over the weekend, while laughing and smiling.

Such rhetoric, especially if it persists, could make Russia do some decapitation strikes of its own. Its forces have increasingly been targeting Kiev with missiles and drones, and even recently struck government buildings, and not far from Zelensky's presidential offices.

As for the Chechen issue, hundreds of thousands of troops from Russia's Muslim-majority republic of Chechnya have been fighting in Ukraine.

Meanwhile, a counter-threat...

Kadyrov: If the order is given, Zelensky and his cronies will end up in Grozny even faster than Maduro ended up in the U.S. pic.twitter.com/x3L7UIoUob

— Polymarket Intel (@PolymarketIntel) January 5, 2026

Kadyrov has ruled there since 2007, and has throughout the Ukraine conflict remained among Putin's most vocal supporters.

He has been not infrequently photographed with Putin, and large contingency of Chechen troops have held pro-Kremlin parades and displays of military power of late.

Tyler Durden Wed, 01/07/2026 - 22:45

Silver Will Remind Us: We Are Deeply Dependent On The Earth

Authored by Mollie Engelhart via The Epoch Times (emphasis ours),

Commentary

We live in a world that has engineered distance between us and the physical limits our ancestors once lived inside of. The constraints that shaped generations before us—weather, harvest, transport, salt, fuel, season, strength, distance, labor, time—have been replaced by one dominant modern restraint: money.

Silver bars are stacked in the safe deposit boxes room of the Pro Aurum gold house in Munich, Germany, on Jan. 10, 2025. Angelika Warmuth/Reuters

Money has become our proxy for limits, the translation layer between desire and reality. But somewhere along the way, we started believing the translation was the terrain. Constraints didn’t disappear—we outsourced them to systems so efficient we stopped noticing their fragility at all.

My husband grew up in a town with no road connecting it to the outside world. When his family wanted to slaughter a pig, they didn’t reach for salt in a pantry. They first rode horses to the salt flats, mined the salt by hand, carried it home, and then began curing the meat. Their survival depended on terrain, season, muscle, and community. Nothing was guaranteed. Everything required presence.

Here in the United States, scarcity is rarely part of our daily friction anymore, so we forget to respect its possibility at all.

But silver is reminding us now.

Not a Price Rally—A Resource Alarm

The world is treating silver like a financial headline. Analysts debate whether it will hit $45 or $125 an ounce in 2026. But the real story isn’t about price movements; it’s about access to metal that physically exists.

Silver is not just money—it is matter, manufacturing, and infrastructure.

Unlike dollars, you can’t print more silver when you need it. Unlike gold, silver is consumed at an industrial scale because it is required for the defining industries of our time:

• Solar panels

• Electric vehicles

• Semiconductors

• Advanced electronics

• Artificial intelligence (AI) data centers

• Critical defense systems

You can build a financial system with paper promises, but you cannot build the future’s physical economy without metal.

China’s Jan. 1 Licensing Regime

On Jan. 1, 2026, China activated a licensing structure that authorizes only 44 domestic companies to export silver. This mirrors the same strategic resource playbook China previously used for rare-earth metals:

• Restrict exports

• Consolidate control into state-aligned entities

• Prioritize domestic supply

• Control refined production rather than raw extraction

This isn’t a supply hiccup—it is mineral nationalism.

And refined silver—the form required for manufacturing—is now subject to state gatekeeping.

Inventories Reveal Reality

In late December 2025, physical silver on the Shanghai Gold Exchange traded at a record premium to U.S. paper futures. Normally, arbitrage would close that spread quickly.

It didn’t.

Because physical metal is tightening, it is no longer moving freely.

Shanghai inventories have dropped to levels not seen in a decade. London vault holdings are down dramatically from pandemic highs. Futures have entered backwardation—buyers paying more for metal now than later. Lease rates have surged, signaling institutions scrambling for metal they cannot easily source.

And here is the key truth: Paper markets for silver now dramatically exceed the supply of physical metal available.

That imbalance works—until someone demands delivery.

And industry will always demand delivery.

Dec. 26 Was Containment, Not Correction

When silver’s paper price dipped on Dec. 26, 2025, it wasn’t profit-taking. It was a forced liquidation event triggered by emergency margin hikes after large holders claimed registered inventory. It was not a market correction; it was containment.

Because here is the truth markets keep avoiding: You can cash-settle a contract. You cannot cash-settle a solar panel, a semiconductor, or a microchip.

Industry needs atoms, not arguments.

We Live Inside Physics, Not Policy

We are addicted to having everything we want the moment we want it. We think politicians can sign papers and declare that every grid will be electric by 2030, as if energy is summoned by legislation rather than mined, manufactured, transported, stored, and built from finite materials.

But the Earth does not negotiate with impatience.

Policy does not override physics.

Technology does not run on forecasts.

It runs on resources.

And silver is the resource tightening fastest.

How Will We Receive the Reminder?

The math is obvious.

In 2026, we will discover what was real all along.

The Earth we are all connected to is physical, finite, and unshakably real, no matter how much of life we now operate from our phones, over Zoom, or through AI.

The minerals beneath our feet are real.

The land that feeds us is real.

The planet that provides everything we build, eat, power, and depend on is real.

The question is not whether the physical world will remind us of its terms—but how we choose to receive the message when it arrives.

As I watch the signs of this tightening, I will remember what is real:

My family.

My husband.

My land.

My friends.

My community.

My skills.

And my ability to lead.

Sure, we can all generate clicks, comments, and interactions in the increasingly digital world we now spend more time inside of. But when the rubber hits the road, we are deeply interconnected with the Earth.

The homes we live in came from nature. The food we eat comes from nature. The energy grid, the cars we drive, the metals in our phones, the data centers powering AI—all of it depends on this extraordinary planet and what it provides.

It’s easy to forget that. It’s easy to act as if we live inside boxes, disconnected from the natural world.

But those boxes came from nature itself.

And it would serve us well to remember.

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

Tyler Durden Wed, 01/07/2026 - 22:10

U-Haul Growth Index: Newsom's California Dead Last For Six Straight Years

Moving company U-Haul has released its annual migration ranking, which continues to show a sustained outflow from high-tax, crime-ridden, Democrat-run states toward lower-tax states where law and order are cherished.

Right off the bat, the report's authors note that "Florida ranks 2nd for net gain of one-way customers; California last for sixth year in a row."

U-Haul just released its annual "Growth Index" for all 50 states. For the 6th straight year, California is ranked 50th. We have the highest rate of people moving out versus moving in.

Newsom has turned the greatest state in the country into the most popular state to leave.

— Kevin Kiley (@KevinKileyCA) January 6, 2026

The U-Haul Growth Index compares one-way truck and trailer rentals into a state versus out of a state, allowing researchers to calculate net migration, which reflects relocation trends nationwide.

This real-time tracker shows that Texas reclaimed the title of the No. 1 growth state for the seventh time in a decade. Florida ranked No. 2, followed by North Carolina at No. 3, Tennessee at No. 4, and South Carolina at No. 5. The common denominator among these states is that politicians are considered more based and grounded in reality than the far-left activists running blue states into the ground (cough, cough Tim Walz).

Conversely, the behavior-based migration indicator shows that blue states such as California ranked dead last - in other words, more people left than arrived. Illinois, New Jersey, New York, Massachusetts, and Maryland also landed at the bottom of the list. The common denominator among these states is that their political leadership focuses on being left-wing activists rather than proper stewardship of their respective states.

"Blue-to-red state migration, a hotly debated political topic that became more pronounced after the pandemic of 2020, continues to be a discernable trend," U-Haul wrote in the report.

Tyler Durden Wed, 01/07/2026 - 21:35

Wyoming Supreme Court Rules Abortion May Stay Legal Due To Obamacare Amendment

Authored by Arjun Singh via The Epoch Times (emphasis ours),

The Supreme Court of Wyoming, on Jan. 6, ruled that two state laws banning the procedure and the availability of abortion medication were unconstitutional.

A patient prepares to take a pill for a medication abortion during a visit to a clinic in Kansas City, Kansas, on, Oct. 12, 2022. Charlie Riedel/AP Photo

The court, in the case of State v. Johnson, held that the two laws in question—the Life is a Human Right Act of 2023, which bans abortion procedures, and the state’s abortion drug ban—violated Article 1, Section 38 of the Constitution of Wyoming. That provision of the state constitution was added by a statewide referendum in 2012, which states, “Each competent adult shall have the right to make his or her own health care decisions.”

“All five Wyoming Supreme Court justices agreed that the decision whether to terminate or continue a pregnancy is a woman’s own health care decision protected by Article 1, Section 38,” wrote the court in a summary of its opinion and announcement of the decision.

The court added that “all five justices also concluded that an adult’s right to make his or her own health care decisions is a fundamental right because of the very specific language used,” even though the referendum was passed in response to the Patient Protection and Affordable Care Act, known more commonly as “Obamacare.”

The court, however, split four to one on deciding whether the laws in question could be struck down.

“Four justices (Boomgaarden, Fox, Jarosh, and Fenn) voted to strike down the 2023 abortion laws. Justice Gray voted to uphold the laws,” the court’s summary read.

The court noted that even though Article 1, Section 38 was passed in response to Obamacare, the language of the provision was inflexible, writing, “The Court recognized it cannot add words to the Wyoming Constitution. ... But lawmakers could ask Wyoming voters to consider a constitutional amendment that would more clearly address this issue.”

Lower courts, when reviewing the case, also struck down the laws.

Wyoming is a heavily conservative state that is dominated by the Republican Party, and pro-life sentiment is widespread. Following the ruling, Governor of Wyoming Mark Gordon called for a referendum to amend the constitution and invalidate the ruling.

“This ruling may settle, for now, a legal question, but it does not settle the moral one, nor does it reflect where many Wyoming citizens stand, including myself. It is time for this issue to go before the people for a vote,” Gordon wrote in a statement published on social media. “I call on the legislature to pass and place a clear constitutional amendment on my desk.”

The lead plaintiff in the case, Wellspring Health Access in Casper, Wyoming, celebrated the ruling.

“Our clinic will remain open and ready to provide compassionate reproductive health care, including abortions, and our patients in Wyoming will be able to obtain this care without having to travel out of state,” said Julie Burkhart, the organization’s president, in a statement.

The Associated Press contributed to this report.

Tyler Durden Wed, 01/07/2026 - 21:00

EU Strategery

Authored by T.L.Davis,

The EU, so desperate to exert their dictatorial powers, to feel the exhilarating rush of adrenaline from smashing someone’s face with the butt of a rifle, has revealed itself. It is that rarest of all birds, both fascist and communist in its outlook on the world. Having been able to conquer most of Western Europe with a simple change in immigration policy it is heady with success, brazen and anxious to lead the entire world from a small office in Brussels.

The aggressive, hostile EU is like a drunk trolling a bar looking for a fight. It chose to make Ukraine its sidekick, someone already subject to Russian aggression, who could be sent out to make loud claims and kick the bullies in the knees, while the EU sat back, waiting for an opportunity to bring big brother into the fray. Big brother, in this case, is NATO.

The EU has no army. To liken it to the United States, it would be as if there were no American troops, but National Guard from every state and even some foreign guard units to throw at their enemies. The EU supports Ukraine and threaten every day to intervene in that conflict to help Ukraine, but the EU has no money, it has no troops. Their intent is to take funds from all of their member states and give that to Ukraine to help fight Russia. It’s like the IRS extracting taxes to give to Somalian day care centers (an issue that needs resolution here).

While the Ukrainian people have my sympathy and I wish nothing other than that this war would end and Ukraine could live in peace, have elections and elect their leaders, the EU is against that. They’ve done all they can to prevent peace and now threaten Russia with an extension of the war.

All of this relies on NATO, the bulk of that force being made up of American military units. NATO was designed to deter the Soviet Union from being able to gain a foothold in Europe from which to strike the US. To that extent is has article 5 promises to enter the war on behalf of any member state that suffers from Soviet aggression and has laid somewhat dormant since the collapse of the Soviet Union.

It’s a different world, now, and these peons who run the EU and NATO believe that because big brother might be able to beat up some drunk in a bar, inciting violence to invoke it is stupid. But that’s the course they’ve chosen. Only now, they seem to believe that they are the puppet masters of the world. It’s bold, I have to give them that, but anyone can see through their tactics.

The latest move is to defend both Denmark and Greenland, but with what troops? NATO troops. Okay. So, largely an American-based group is going to go to war with America to protect Greenland under Danish control to establish the superiority of the EU?

Hubris is all that comes to mind. It’s radical and dangerous, but the EU has become used to standing on quicksand throwing rocks at those on shore, threatening them with lawsuits if they don’t come and help them gather rocks. There’s no limit to the illogical nature of their reasoning.

What it has done effectively, though, is it has placed them at odds both with Russia and the United States. This is what happens when local featherweights are given power, any power. They exaggerate their value by their associations with larger organizations until they come to believe that they are the masters of their masters. They become a Rasputin of sorts on the global stage. It’s the same with the WEF, the WHO, etc. If they can corrupt leaders of nations they can effectively control those nations with bribes and threats.

Holdouts like Hungary and Viktor Orban threaten that control. They submit to punishment rather than being bought off and any resistance is characterized as pro-Russian. That Orban has been able to survive the constant drumbeat of harassment from the EU is a miracle and recent polls show that the EU just might win the propaganda war it has unleashed on Orban. If it does, and Orban is defeated in April, it will be the end of Europe as it was once known. They will simply be the Greater Middle East, but with nukes.

That all of this is built on propaganda and censoring opposition views should alarm the world. The tactics are clearly both fascist and communist. The EU is the instigator of violence and world wars, but hold no territory of their own. They are a bureaucratic assembly, nothing more. NATO is the same, yet they preen around like the drivers of world policy, the headmaster to whom all nations must answer.

If the US thought it was safe from the warmongering of the EU it’s mistaken. The EU criticizes Russia and attempts to rally the world against it, just as it criticizes the US and is trying to rally the world against it. They pretend to be the champions of the victimized while they attempt to victimize.

What they should recognize, that the world recognizes already, is that they have used strategery to place themselves on a war footing with both the US and Russia. What they should be worried about, is that they may be the catalyst for a renewed alliance between those two nations against it, their now common enemy.

Tyler Durden Wed, 01/07/2026 - 20:30

The Truth About Venezuela Under Socialism, From Those Who Fled It

Authored by Troy Myers via The Epoch Times (emphasis ours),

DORAL, Fla.—Zarai Maza survived a torched vehicle and a horrific car crash after peacefully protesting the Venezuelan regime, an unacceptable act in her home country, where speaking out could cost you your life or those of your family members.

(L–R) Accountant Carlos Higuerey, human rights advocate Zarai Maza, and political activist Daniel Tirado all fled Venezuela and now live in the United States. Though they come from different walks of life, they all say the Maduro regime persecuted them and their family members, prompting them to flee. Courtesy of Carlos Higuerey, Zarai Maza, Daniel Tirado

She said she believes that the Venezuelan dictatorship was trying to kill her over her activism.

“They started the persecution against me in 2014, and it lasted until 2017,” Maza said. “They made three assassination attempts against my life, and after the last one, I was in the hospital. I couldn’t remember anything.”

Holding back tears, Maza said the last encounter started off as a normal taxi ride. She recalled waking up in a hospital with no memory of what happened and no feeling in her body.

She moved to Florida in 2017, and after two years of physical therapy in the United States, she regained her ability to walk upright again.

She is among the millions of Venezuelans who have fled the brutal regime, which turned a prosperous country into a repressive, failed socialist nation. And like many Venezuelans at home and abroad, Maza cheered the U.S. military operation that captured Nicolás Maduro, the country’s leader, and his wife on Jan. 3 and brought them to New York City to face federal charges including narco-terrorism.

The pair pleaded not guilty to all charges on Jan. 5. If convicted, they face life in prison.

The Epoch Times spoke to dozens of Venezuelan expatriates, who shared grisly stories of survival, persecution, murder, harassment, and intimidation and explained how they rebuilt their lives after surviving the dictatorship. Their experiences are a sample of many accounts of how socialism not only ripped Venezuelan families apart, but also brought their country to ruin.

President Donald Trump said the United States will maintain control of Venezuela until a “safe, proper, and judicious transition” to a new government occurs, noting that U.S. oil companies would be involved in rebuilding the country’s economy.

Some Venezuelan expats told The Epoch Times that they may go back if the United States can help fix their country.

A Survivor Story

Maza is a human rights advocate and the founder and executive director of the Guardians of Human Rights Foundation, based in Doral, Florida. Her work as an activist goes back to about 2010, when she still lived in her home country and attended the Central University of Venezuela—before she faced three attempts on her life, which she believes were orchestrated by the Maduro regime.

Over the years in Venezuela, many of her fellow students and professors were unjustly imprisoned, she said. In clear anguish, she described the first attempt on her life during a peaceful protest on campus, when the Bolivarian National Guard of Venezuela came after her and others.

Zarai Maza poses for a photo at the site of a human rights seminar she gave in Venezuela in 2016. Maza said she was persecuted by the Venezuelan regime between 2014 and 2017 after peacefully protesting against it. Courtesy of Zarai Maza

“I think that no American can imagine the fear that you can feel for just being—standing in a place,” Maza said.

She made it to an SUV with her mother, but then their vehicle was torched. Maza said her mother kicked the window out so they could escape the burning car. Maza later told The Epoch Times that her mother has since also fled Venezuela “for protection” and currently lives in the United States.

Maza stopped short of describing the second attempt on her life, saying that the memories were too painful.

“Imagine that you can’t be in any place of the area that you live [in], that you love, that you grew up [in],” she said. “They are after you in any place. ... It almost makes me break.”

In the third attempt on her life, a vehicle caused Maza’s taxi to crash and flip, with her spine taking the brunt of the damage.

“I couldn’t move or feel my body,” Maza said. “I was 25 years old, just trying to fight for my country at that time. ... I didn’t realize how bad and far these people can go just to maintain [their] power.”

Her symptoms—physical and mental—linger.

“There’s still things that I live with. ... I don’t have enough strength in my hands,” Maza said, making a weak fist.

“Even now, when I’m in any place, and here comes a motorcycle, and I listen to the sound,” she said, trailing off.

Maza said it took years for her to be able to sleep comfortably at night after she moved to the United States.

Zarai Maza, a human rights advocate and the founder and executive director of the Guardians of Human Rights Foundation, sits for a panel at the Hall of the Americas at the Organization of American States in March 2025. Courtesy of Zarai Maza Pressure and Murders

Carlos Higuerey came to the United States in 2018, after years of working for a state-run employer and a string of family deaths that he blames on the regime.

He said he worked as an accountant for 12 years at Venezuela’s state-owned oil and gas company, with access to information that he described as secretive and corrupt. Some of his family members also had ties to opposition politics in Venezuela, linking him to what his employers would call “escuálido”—those who oppose the government—or “Chavismo.”

The first death in Higuerey’s family occurred in 2010, when his father passed away.

“My father had to take pills, but [at] this time in Venezuela, you cannot find the pills because the government expropriates all pharmacies,” he told The Epoch Times. “I buried people, a lot of people, for this reason.”

Within 10 days of his father’s death, his aunt and uncle were murdered inside their home, which Higuerey said he believes was orchestrated by the regime over political differences.

“There was blood on the walls,“ he said. ”It was a horror movie. It was horrible.”

Carlos Higuerey holds up a Venezuelan flag alongside other supporters after hearing of Maduro’s capture on Jan. 3, 2025, in Coral Gables, Fla. Higuerey, who came to the United States in 2018 after years working for a state-run oil and gas company, blames the Venezuelan regime for a string of family deaths. Courtesy of Carlos Higuerey

When asked who would do that, he replied without hesitation, “The government.”

Just five months after his father, uncle, and aunt died, Higuerey said his brother was also killed over politics. After facing years of pressure and dealing with family members being murdered, he decided to take a break in 2018 and traveled to the United States.

At the time, he did not know that this trip would become a years-long stay.

“When I came here, the next day, I’m checking my phone,“ Higuerey said. ”I see a message [from] my neighbors. My sister was kidnapped.”

He said the neighbors witnessed government agents take her. The agents were really after Higuerey, for the secrets he knew about the oil company, he said. Although his sister was freed the next day, Higuerey said he faced a soul-crushing choice.

“I took the decision that I don’t want to come back to Venezuela,“ he said. ”I don’t want to feel under depression. I’m broke inside. I’m broke inside.”

Read the rest here...

Tyler Durden Wed, 01/07/2026 - 20:00

Note: Mortgage rates are from MortgageNewsDaily.com and are for top tier scenarios.

Thursday:
• At 8:30 A ET, Trade Balance report for November from the Census Bureau. The consensus is the trade deficit to be $59.4 billion.  The U.S. trade deficit was at $52.8 billion in September.

• Also at 8:30 AM, The initial weekly unemployment claims report will be released.  The consensus is for 205K, up from 199K.