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California Supreme Court Disbars Former Trump Attorney For Aiding Challenge Of 2020 Election Results

Authored by Brad Jones via The Epoch Times,

The California Supreme Court decided to disbar former Trump attorney John Eastman over his aiding the president in challenging the 2020 presidential election results.

The court has not yet handed down an opinion to explain the April 15 decision, which affirmed the California Bar court’s recommendation for disbarment for alleged attorney ethics violations.

Eastman, a former Chapman University law professor, gained national attention for advising President Donald Trump on constitutional challenges to election procedures in several battleground states after the president alleged widespread election fraud.

The California decision is not the end of the line for Eastman. He can still practice law in the U.S. Supreme Court and possibly in another state.

“Federal courts are supposed to let me keep practicing, and the U.S. Supreme Court has allowed me to continue practicing, even while I’ve been placed on inactive status [in] California,” he said.

Eastman told The Epoch Times the state court’s decision is “outrageous” and “Orwellian.”

“What’s happening here to our institutions that have been captured by hard line, political, weaponized activists needs to be addressed. I was hopeful that the state Supreme Court would do that, but they’ve obviously punted,” he said.

“And so, it’s now up to the U.S. Supreme Court to fix this metastasization of the weaponization problem.”

Eastman said his attorney will file a certiorari petition, which is a formal request asking the U.S. Supreme Court to review the state court’s decision “because of the First Amendment violations that it represents.”

The U.S. Supreme Court has made clear that “professional speech does not get lesser First Amendment protection than anybody else’s speech,” Eastman said.

“And yet, what the court has done here is basically said ... I don’t get the same First Amendment protection that the man on the street gets because I was representing a client,” he said.

Eastman claims he is a victim of “lawfare” and was “debanked” over the controversy, which he said is “obviously partisan in nature.”

George Cardona, the chief trial counsel of the State Bar of California, alleged in a June 14 statement that Eastman violated his fundamental obligation to be truthful and uphold the rule of law “when, at the behest of his client, now-President Donald Trump, he engaged in a calculated campaign to falsely undermine the results of the 2020 presidential election, which then-candidate Donald Trump lost.”

Cardona alleged that Eastman “lied to courts,” then-Vice President Mike Pence, and the American people.

Randall Miller, an attorney with the Miller Waxler law firm who represents Eastman, criticized the decision in a statement emailed to The Epoch Times.

“The California Supreme Court has allowed to stand a State Bar Court recommendation that we contend departs from longstanding United States Supreme Court precedent protecting First Amendment rights, especially in the attorney discipline context,” Miller wrote.

“We disagree with that outcome and believe it raises pivotal constitutional concerns regarding the limits of state regulation of attorney speech,” he wrote.

“We will seek review in the U.S. Supreme Court to repudiate this threat to the rule of law and our nation’s adversarial system of justice.”

Deborah Pauly, an attorney with the LEX REX Institute and longtime conservative activist in Orange County, Calif., told The Epoch Times in a text message that the California Supreme Court “rubber-stamped the Bar Court’s recommendation.”

“California is trying to silence anyone who endeavors to protect and defend our Constitution from the swamp,” she said.

Tyler Durden Thu, 04/16/2026 - 15:45

Major Advertising Agencies Settle Media Censorship Lawsuit With FTC

Authored by Jacki Thrapp via The Epoch Times (emphasis ours),

The Federal Trade Commission (FTC) and eight states secured a settlement on April 15 that will prevent three major advertising agencies from engaging in unlawful media censorship.

An American flag flies at the Federal Trade Commission (FTC) headquarters in Washington on Nov. 24, 2024. Benoit Tessier/File Photo/Reuters

The defendants Dentsu US, Inc., GroupM Worldwide LLC (doing business as WPP Media), and Publicis, Inc. will no longer enter into deals that require them to restrict working with certain clients, according to the settlement.

“A coordinated group of woke, powerful individuals attempted to suppress that Constitutional right by manipulating ad agencies into sabotaging the reach, revenue, and credibility of conservative voices,” Texas Attorney General Ken Paxton said in a statement released on April 15.

The plaintiffs - including Florida, Indiana, Iowa, Montana, Nebraska, Texas, Utah, and West Virginia - alleged that censorship deals between ad agencies and companies had been happening in the background during the past decade, which limited rising voices in the alternative and online media space.

The lawsuit accused some of the largest ad agencies of establishing brand-safety agreements that labeled content creators as “misinformation,” making them unable to receive ad revenue.

The alleged brand-safety standards were part of a campaign to demonetize prominent figures in the conservative space such as Glenn Beck, Steve Bannon, and the late Charlie Kirk, according to court documents reviewed by the Epoch Times.

The campaign allegedly attempted to censor and suppress content from Fox News Channel and X, formerly Twitter.

“This is a deeply disturbing violation of antitrust laws and our Constitution,” Paxton added.

“This was an egregious attempt to control public opinion and silence those who speak out against the liberal elites and powerful corporations. I will continue to lead the fight against viewpoint suppression and protect the speech of Americans from corrupt manipulation.”

As part of the settlement, defendants also agreed to have a court-ordered monitor to make sure agencies are sticking with the agreement and no longer censoring political viewpoints.

The defendants agreed not to enter into or enforce any deal that would limit their advertising spending on political or ideological viewpoints or DEI commitments.

“The ad agencies’ brand-safety conspiracy turned competition in the market for ad-buying services on its head,” FTC Chairman Andrew N. Ferguson said in a statement on Wednesday.

​Ferguson added, “this unlawful collusion not only damaged our marketplace, but also distorted the marketplace of ideas by discriminating against speech and ideas that fell below the unlawfully agreed-upon floor.”

Tyler Durden Thu, 04/16/2026 - 15:05

Taiwan Semi Slides Despite Record Results In Warning Sign For Chip Companies

Taiwanese chip giant, Taiwan Semiconductor Manfuacturing Co, said Thursday its net profit surged to a fresh record in the first quarter, fueled by the global artificial intelligence race despite the war in the Middle East. Massive demand for AI hardware means business is booming for TSMC -- the biggest contract maker of microchips used in everything from Apple phones to Nvidia processors.

TSMC's net profit for the first three months of the year jumped 58.3% YoY to NT$572.5 billion ($18 billion), beating analyst estimates of NT$540.20 billion as governments and tech giants continue to pour huge sums into building data centers that can train and run AI tools such as chatbots, image generators and agents that can execute tasks. A weaker Taiwanese dollar had also boosted the firm's revenues from overseas sales: the company said net revenue rose 35.1% YoY to a record NT$1.13 trillion. Gross margin was 66.2% in the first quarter, further increased from a record 62.3% last quarter.

Here is the full Q1 breakdown:

• Sales NT$1.13 trillion, +35% y/y, estimate NT$1.12 trillion
• Net income NT$572.5 billion, +58% y/y, estimate NT$542.38 billion
• Gross margin 66.2% vs. 62.3% q/q, estimate 64.5%
• Operating profit NT$658.97 billion, +62% y/y, estimate NT$623.82 billion
• Operating margin 58.1% vs. 54% q/q, estimate 55.6%

While overall earnings were stellar, largely thanks to relentless AI chip demand, one weak point was smartphone revenue, which fell 11% compared to the previous quarter as the industry faces an ongoing memory shortage.

"The recent situation in the Middle East... brings further macroeconomic uncertainties, as such we are being prudent in our business planning," TSMC chairman CC Wei said.  TSMC CFO Wendell Huang said the company did not expect the war to impact its supply of key chipmaking materials such as helium and hydrogen in the near term, despite mounting fears that the collapse in Qatar helium exports would wreak havoc on global chip production.

"We source from multiple suppliers in different regions, and we have prepared safety stock inventory on hand," Huang told an earnings call, adding that energy supplies were also sufficient to continue operations as normal for now.

TSMC said its revenue for the April-June quarter will reach another record of between $39 billion and $40.2 billion, which represents 32% year-over-year growth at the midpoint. Gross margin is expected to be between 65.5% to 67.5%. Commenting on the forecast, Bloomberg said that “TSMC’s 2Q gross-margin guide above 1Q’s record suggests rising chemical and gas costs tied to Middle East disruption aren’t enough to derail the company’s structural margin reset”

That said, TSMC warned the surging price of gas and chipmaking chemicals could weigh on the company's profitability and the global economy, while increasing component costs, including for memory chips, could affect the price-sensitive consumer market.

The results are in line with those of leading memory chipmakers, including Samsung Electronics, SK Hynix and Micron Technology, all of which have benefited from the global AI infrastructure boom. Samsung earlier this month flagged preliminary first-quarter operating profit surging 755% year on year, driven by an unprecedented memory shortage. Micron's gross margin reached 74% in the fiscal quarter ending February 2026 and is expected to rise further to around 81% in the current quarter, underscoring the strength of demand.

A note from UBS analysts had predicted strong quarterly results for TSMC but warned that consumer demand was weakening as a result of higher prices caused by a global memory chip shortage that is a side-effect of the AI boom. "Cloud AI demand continues to strengthen, but we think supply constraints will limit meaningful upside for TSMC this year," the UBS team said. "Middle East tensions add a layer of macro uncertainty, but AI spend should stay insulated, barring a protracted conflict."

TSMC's good news was bad news for  PC manufacturers, who are facing a rare double-whammy: TSMC's foundry price hikes are converging with memory cost inflation, creating a cost squeeze that's already forcing retail price increases. The math is straightforward-chips cost more to make, and memory modules are pricier to buy-and the result is a fundamental upward pressure on every PC built.

TSMC's 2026 price adjustments target the advanced nodes that power premium laptops and desktops. The company notified clients that prices for sub-3nm processes will rise 3% to 10% starting January 1, 2026, with the exact increase depending on the node 3%-10% by node. TSMC currently sells 3nm wafers for approximately $20,000 each, and 2nm wafers will exceed $30,000 when mass production begins 3nm at ~$20,000, 2nm above $30,000. These are the chips that go into flagship devices, and the cost differential is material. For context, TSMC's Arizona facility, which is now producing 4nm chips, costs 5-20% more to operate than Taiwan-based manufacturing, a factor baked into the pricing strategy Arizona operations 5-20% more expensive.

The memory side of the equation is equally aggressive. DRAM and NAND flash prices have been climbing as suppliers tighten contract terms and inventories normalize. Asus, one of the world's largest PC vendors, responded in early January 2026 by implementing price increases of 15% to 20% on selected notebook and desktop models Asus price increases 15-20%. The company explicitly cited "RAM and storage cost pressure" as the driver, linking the shift directly to supplier pricing rather than logistics or labor Asus attributed increases to memory costs. Asus targeted specific consumer and commercial models-but the effect was immediate: Taiwan retailers began raising prices on competing brands' systems to preserve their own margins retailers raised prices on rival brands.

* * * 

TSMC is also planning record capital spending of up to $56 billion in 2026, part of a broader push by Asia's chip industry that could total at least $136 billion. ASE Technology Holding, the world's largest chip-packaging and testing provider, updated its guidance and said investment this year will exceed earlier forecasts.

"We expect AI to continue fueling growth for TSMC despite weak non-AI demand," said Mark Li, veteran semiconductor analyst with Bernstein Research. "Fortunately for TSMC, we see no impact to its business as the capacity released by non-AI customers will be quickly filled by AI customers who could not find sufficient capacity before."

TSMC Chairman and CEO C.C. Wei also commented for the first time on Tesla and Intel's collaboration on Terafab advanced chipmaking facilities in the U.S. and on Intel's push into the contract chipmaking business and advanced chip packaging. Recently Elon Musk says his company is embarking on its own in-house chip business because capacity from its chip suppliers, including TSMC, Samsung and SK Hynix, is insufficient to meet its needs. 

"Actually both Intel and Tesla are TSMC customers, but they are [also] our competitors. We view Intel as a formidable competitor, and do not underestimate them," Wei said. "But I will say that there are no shortcuts. The fundamental rule of the foundry never changes. We need technology, leadership, manufacturing excellence and customer trust, which has been mentioned by Jensen [Huang]" -- Wei said, thanking the Nvidia CEO for his words. 

Wei said it takes two to three years to build a new chip plant and another one to two years to ramp it up. TSMC, he added, is also building new fabs to satisfy its customers. "The capacity is very tight and we are working hard to make sure we can meet customer demand."

Despite TSMC's record Q1 results, US-listed shares are down 2.3% (having risen nearly 19% off a recent low). The failure of either TSMC or European chip giant ASML (which sasnk 3% on concerns over shrinking sales to China and sky-high expectations from investors) to catch a tailwind from positive reports could be a bellwether for the wider chip industry as earnings season rolls on.

It is also the latest example of how astronomical expectations have weighed on chipmaker stocks. Last quarter, Nvidia’s blowout fourth-quarter earnings report was met with a 5% sell-off.

Tyler Durden Thu, 04/16/2026 - 14:05

Trump Urges Extending Foreign Surveillance Program As Some Lawmakers Push For US Privacy Protections

Via Headline USA,

Congress is set to take up the reauthorization of a divisive program that lets U.S. spy agencies pore over foreigners’ calls, texts and emails, with supporters like President Donald Trump saying it has saved lives while critics point to longstanding concerns about warrantless surveillance of Americans.

(AP Illustration/Peter Hamlin)

A key provision of the Foreign Intelligence Surveillance Act permits the CIA, National Security Agency, FBI and other agencies to collect and analyze vast amounts of overseas communications without a warrant. It incidentally sweeps up the conversations of any Americans who interact with those foreigners targeted for surveillance.

The program expires Monday, and critics want changes, including a requirement for warrants before authorities can access the emails, phone calls or text messages of Americans. They also want limits on the government’s use of internet data brokers, who sell large volumes of personal information gleaned online, offering the government what critics say amounts to an end-run around the Constitution.

Despite bipartisan criticism, the chances of significant reforms dropped when Trump announced his support for the program’s renewal, saying it had proven its worth in supplying information vital to recent U.S. actions in Venezuela and Iran.

“The fact is, whether you like FISA or not, it is extremely important to our military,” Trump said on Truth Social Tuesday.

U.S. authorities say the program, known as Section 702 of the law, is vital to national security and has saved lives by uncovering terror plots. Critics question what they call a dangerous infringement on civil liberties and privacy.

In a Truth Social post, Trump said a different FISA provision was used to spy on his 2016 campaign but that he supported Section 702’s renewal despite misgivings that political adversaries could use parts of the law against him in the future. He called on lawmakers to extend the foreign surveillance program for another 18 months.

“My administration has worked tirelessly to ensure these FISA reforms are being aggressively executed at every level of the Executive Branch to keep Americans safe, while protecting our sacred Civil Liberties guaranteed by our Great Constitution,” Trump wrote.

Trump is a longtime critic of the nation’s intelligence services and was once opposed to Section 702 before he reversed himself. “KILL FISA” Trump posted on social media in 2024, when the provision was last reauthorized.

Trump isn’t the only one-time critic to change their mind: Director of National Intelligence Tulsi Gabbard sponsored legislation to repeal Section 702 as a Hawaii congresswoman but now supports it after being tapped to coordinate the nation’s 18 intelligence agencies.

Gabbard says new protections added since her time in Congress helped change her mind.

In addition to a requirement for a warrant to access Americans’ data, critics also want greater protections on how the FBI or other agencies can search communications and how that is reported to the public.

“Journalists, foreign aid workers, people with family overseas, all could have their communications swept up in this surveillance merely because they talked to someone outside of this country,” said Sen. Ron Wyden, D-Ore. The longtime critic of the law is pushing for changes that he said will ensure the government isn’t violating civil rights in secret.

Several Republicans also have suggested changes, such as the warrant requirement.

“National security and civil liberties are not mutually exclusive,” said Rep. Andy Biggs, R-Ariz. “We can give our intelligence professionals the tools they need to target foreign threats while ensuring that Americans are not subjected to unconstitutional surveillance.”

Gabbard’s office releases an annual report showing the number of foreign surveillance targets and number of searches likely to identify an American.

For 2025, the number of foreign surveillance targets increased to nearly 350,000 from almost 292,000 in 2024. Searches using terms likely to identify an American decreased slightly to 7,724 from 7,845 in 2024.

The totals are incomplete because agencies like the FBI have found ways to access the data without reporting the searches publicly, said Elizabeth Goitein, senior director of the Liberty and National Security Program at the Brennan Center for Justice at New York University.

FBI officials repeatedly violated their own standards when searching for intelligence related to the Jan. 6, 2021, insurrection at the U.S. Capitol and racial justice protests in 2020, according to a 2024 court order.

“It’s reminiscent of J. Edgar Hoover’s tenure at the FBI,” Goitein said, referring to the FBI’s founding director who used illegal surveillance to harass and spy on Americans. “They can pretty much target anyone.”

Despite bipartisan concerns about the law and its implications for civil liberties, time is running out for Congress to make any changes before Monday’s expiration.

Trump’s support also reduces the odds that enough Republicans will break ranks and join Democrats to push for reforms.

Wyden said Section 702 votes are routinely delayed until the last minute, then lawmakers are told that national security demands they vote yes. Lawmakers are told, he said, that “if they vote for any amendments, the program will die and terrible things will happen and it will be all their fault.”

The best chance for inserting changes likely is the House, where a large number of lawmakers from both parties have expressed concerns.

But Rep. Rick Crawford, an Arkansas Republican who chairs the House Intelligence Committee, is backing Trump’s call for an 18-month renewal.

Crawford has taken aim in the past at what he calls the weaponization of intelligence but said last month that he believes the government can empower spy agencies while also holding them accountable.

“We can walk and chew gum at the same time,” Crawford said.

Adapted from reporting by the Associated Press. 

Tyler Durden Thu, 04/16/2026 - 13:45

LIV Golf CEO Denies "Speculation" That Saudi Arabia On Cusp Of Severing Ties

Update (1130ET): Amid reports that Saudi Arabia's Public Investment Fund might be on the verge of pulling its funding for the league, LIV Golf CEO Scott O'Neil told staff in an email overnight that its season will go on "as planned, uninterrupted and at full throttle."

The email, which was obtained by ESPN, didn't directly address reports that PIF might stop investing in the breakaway circuit after spending more than $5 billion since its inception in 2022, or whether the league will continue competitions beyond this season.

"I want to be crystal clear: Our season continues exactly as planned, uninterrupted and at full throttle," O'Neil wrote in the email.

"While the media landscape is often filled with speculation, our reality is defined by the work we do on the grass. We are heading into the heart of our 2026 schedule with the full energy of an organization that is bigger, louder, and more influential than ever before."

LIV Golf is scheduled to play its sixth tournament of the season starting Thursday at Club de Golf Chapultepec near Mexico City.

Its first tournament in the U.S. is scheduled for May 7-10 at Trump National Golf Club in Sterling, Virginia.

*  *  *

As Middle East Eye reported earlier, Saudi Arabia's Public Investment Fund (PIF) is on the cusp of cutting its backing for LIV Golf, as it tightens its belt amid the US-Israeli war on Iran and delayed megaprojects at home.

The Financial Times reported on Wednesday that the kingdom’s sovereign wealth fund could announce it was stepping away from the Saudi-backed golf tour, established in 2021, as early as Thursday, taking a hit on its $5bn investment in the entity.

via AFP

The report said PIF had been weighing an exit before the US-Israeli war on Iran began, but any decision would likely send a chill through the sports world and other entities seeking cash from Gulf sovereign wealth funds.

PIF is the main backer of LIV Golf, which has racked up major losses since its founding in 2021, and the move would likely spell its demise.

PIF's bet on LIV Golf to rival the PGA Tour was one in a series of investments that were made in a bid to bolster the kingdom’s involvement in sports and entertainment, as it pushes to diversify its economy away from energy.

Saudi Arabia’s potential reversal on its costly golfing venture is part of a wider pullback on sports investing, as it looks to prioritize returns, rather than cultural influence. https://t.co/s0iQdRcFAZ

— Bloomberg (@business) April 16, 2026

Even before the US-Israeli war on Iran, high-flying projects were being cancelled or massively scaled down. The kingdom’s finance minister, Mohammed al-Jadaan, said in December that it had "no ego" preventing it from reassessing projects.

Earlier this year, Saudi Arabia suspended construction of the Mukaab, a giant cube-shaped structure set to be built in downtown Riyadh. The kingdom also shelved plans to build a desert ski resort and a large dam for an artificial lake.

Because of its East-West pipeline running from the Gulf to the Red Sea, Saudi Arabia can bypass Iran's control of the Strait of Hormuz. It is practically the only Gulf state exporting oil amid the war and is benefiting from higher oil prices.

But the conflict has also made it harder for Gulf states to present themselves as safe hubs for tourism and business.

Yasir al-Rumayyan, the governor of PIF, told Al Arabiya Business on Wednesday that the war on Iran was having an effect on PIF’s calculus, saying that “the war would add more pressure to reposition some priorities”.

Rumayyan confirmed for the first time that a 170km straight-line city envisioned to be part of the larger Neom development was no longer a priority.

"There are directives to Neom to reprioritise. Everyone thinks The ‌Line is Neom, but The Line is one project in Neom," he said. "Is it necessary to have The Line by 2030? I think no. It's good to have, but not a must-have," he said.

Cutting ties with LIV Golf would align with the kingdom’s efforts to keep more of its sovereign wealth fund cash at home. PIF is estimated to be worth $1 trillion.

Rumayyan said that PIF wanted 80 percent of its investments to go to local projects while it deployed 20 percent abroad, down from a high of 30 percent in recent years.

Tyler Durden Thu, 04/16/2026 - 13:05

Google In Talks With Department Of War To Deploy Gemini AI In Classified Settings

The Information, citing multiple people familiar with the discussions, reports that Google is now negotiating with the Department of War on an agreement that would allow Gemini AI models to be deployed in classified settings. This development suggests the DoW is moving very quickly to broaden the use of frontier models for military and intelligence purposes after the Anthropic fiasco.

The agreement under discussion would permit the DoW to deploy Gemini for lawful uses, signaling what can only be seen as a critical expansion of Google's DoW business, as AI models are being deeply embedded across defense and administrative functions. Sources say both parties are still negotiating the terms.

Those sources noted that Google proposed additional language in the contract to ensure that AI models used by the DoW would not be weaponized for domestic mass surveillance or for autonomous weapons without "appropriate" human oversight.

As we've previously noted, AI kill chains and autonomous weapons are flooding the battlefield across Eurasia. 

The potential deal comes after the Trump administration blacklisted Anthropic for restricting the military use of its AI models.

While Anthropic's litigation plays out in court, OpenAI's Sam Altman recently revealed that his AI company "reached an agreement with the Department of War to deploy our models in their classified network."

Tyler Durden Thu, 04/16/2026 - 12:45

Jeep-Maker Stellantis Signs AI Deal With Microsoft

Stellantis and Microsoft are teaming up in a five‑year strategic deal to accelerate the deployment of AI across the automotive company's large portfolio of brands, including Alfa Romeo, Chrysler, Jeep, Maserati, Peugeot, and others.

The companies plan to develop more than 100 AI initiatives across customer care, product development, and operations. These include predictive maintenance, AI-assisted testing and validation, faster rollout of digital features, and personalized in-car services.

"By leveraging AI‑driven insights from secure, encrypted data, Stellantis reaffirms its commitment to put customers at the center of everything it does," Stellantis wrote in a press release.

Stellantis will build an AI-driven global cyber defense center covering its IT systems, connected vehicles, factories, and digital products, with the objective of detecting threats faster and improving resilience across its operations.

One example of physical AI being integrated into vehicles is the one highlighted by the automaker.

For example, Peugeot drivers may receive intelligent recommendations for more energy‑efficient driving in urban environments, along with proactive vehicle-health insights and feature updates designed to improve everyday usability.

The Stellantis-Microsoft partnership appears to be an attempt to push the legacy automaker into the 21st century, though there is still no indication that future Stellantis vehicles will get an in-car chatbot like those already standard on Teslas.

Last year, Tesla rolled out an over-the-air software update that integrated Grok, xAI’s AI assistant. At the same time, drivers enjoy the luxury of the Full Self-Driving (Supervised) system, which offers autonomous driving. Together, these features show how Tesla is years ahead of legacy OEMs, with physical AI already present on America's highways.

Tyler Durden Thu, 04/16/2026 - 12:05

"It's Really Illiquid": Goldman COO Warns Retail About Private Credit And The "Perception Of Liquidity"

Speaking at Semafor’s World Economy event in Washington, D.C., President and COO of Goldman Sachs John Waldron warned that some managers have oversold how easy it is to get money out—especially to retail investors, who’ve helped balloon the market into a $1.7 trillion behemoth just as the space faces growing scrutiny and tighter conditions, according to Semafor.

“Not everybody has marketed their product as clearly as, certainly we would like to see with the clarity that this is really not a liquid product. It’s not semi-liquid. It’s really illiquid,” Waldron said.

“Those retail investors, I think, have the perception of more liquidity than is the reality.”

That mismatch matters more now. Private credit has been under pressure lately—from higher rates to jittery investors suddenly remembering they might want their cash back.

Semafor writes that Waldron isn’t predicting imminent trouble unless the broader economy cracks.

“This is an economy that has been predicted to be in trouble for a long time and shows extraordinary resilience,” he said.

“I still see that resilience.” He added, “This economy is much stronger than the narrative suggests.”

He said recent earnings don’t show “any real evidence” of serious weakness, and for now, “confidence is still pretty good,” though prolonged geopolitical tensions—like the ongoing conflict involving Iran—could start to erode that. If oil spikes and key routes like the Strait of Hormuz are disrupted, “you’re going to start to see demand destruction,” he warned.

The bigger watchpoint: liquidity.

Retail investors now make up roughly a fifth of the U.S. private credit market, drawn in by lower minimums—but not necessarily easy exits. Many of these funds cap withdrawals at around 5% per period.

“In situations where there’s a sense that there’s undercurrents of trouble in private credit, you could have more redemption pressure where people want their money back and their gates are going up because that’s the way the system works,” he concluded.

Tyler Durden Thu, 04/16/2026 - 11:25

Trump Signs Pipeline Permits To Boost US–Canada Oil Flow

Authored by Kimberley Hayek via The Epoch Times,

President Donald Trump issued several pipeline permits on April 15, including one for the construction of a new pipeline to facilitate the transportation of crude oil and petroleum products between the United States and Canada, according to documents released by the White House.

The action covers four permits in total. The permit authorizing construction was issued to the Bakken Pipeline Company LP for pipeline facilities in Burke County, North Dakota. Other permits were issued for the maintenance and operation of existing pipelines at border locations in North Dakota and Michigan. The recipients of those operational permits are “Enbridge Energy, Limited Partnership” and “Enbridge Pipelines (Southern Lights) L.L.C.”—both indirect subsidiaries of Canadian pipeline giant Enbridge Inc.

According to the White House documents, the permits cover transport of crude oil and petroleum products of every description—refined and unrefined—including naphtha, liquefied petroleum gas, natural gas liquids, jet fuel, gasoline, kerosene, and diesel. The permits explicitly exclude natural gas subject to the Natural Gas Act.

Wednesday’s permits reflect the administration’s sweeping effort to expand America’s domestic and cross-border energy infrastructure.

At the CERAWeek energy conference March 2025 in Houston, Energy Secretary Chris Wright had said that Trump’s pledge to lower energy costs by boosting oil and natural gas production would require a corresponding increase in infrastructure investment.

“If ‘Drill, baby, drill’ is to [lower energy costs], we’re going to have to ‘Build, baby, build,’” Wright told reporters.

The Enbridge permits issued Wednesday supersede authorizations dating to 1991, 1994, and 2008, effectively reissuing and consolidating federal approval under the current administration. The cross-border pipeline landscape has grown increasingly complex in recent years—there are more than 2.6 million miles of oil and gas pipelines crisscrossing the United States, with 71 networks spanning the border with Canada, meaning they are primarily regulated under federal law and by treaties between the two countries.

Enbridge has long been a central player in that network, though not without controversy: The company confirmed in late 2024 that it had cleaned up roughly 60 percent of a nearly 70,000-gallon oil spill from one of its lines in Wisconsin.

The U.S.–Canada energy relationship has also been shadowed by tariff tensions. Trump threatened to impose 25 percent tariffs on Canada over border security concerns, along with a reduced levy of 10 percent on Canadian oil and gas. Wednesday’s permits signal continued bilateral energy cooperation even as trade negotiations between the two countries remain active.

The permits arrive against a backdrop of years of pipeline battles between Washington and Ottawa.

Trump has pushed for the revival of the Keystone XL pipeline, which would transport crude oil from Canada to the United States.

“The company building the Keystone XL Pipeline that was viciously jettisoned by the incompetent Biden Administration should come back to America, and get it built—NOW!” Trump wrote on Truth Social in February 2025.

The Keystone XL project was ultimately suspended on Jan. 20, 2021, when then-President Joe Biden revoked its presidential permit, citing the need to “advance environmental justice.” Biden argued the project would “not serve the U.S. national interest” based on an analysis conducted under the Obama administration citing climate risk.

Canada has been eager to expand its access to U.S. markets. Calgary-based Enbridge Inc. has been in talks with customers about expanding its Mainline pipeline network—the largest pipeline system in North America—to handle growing volumes of Canadian oil output. Canada currently sends 97 percent of its oil exports and 100 percent of its natural gas exports to the United States, leaving it with limited leverage in any trade dispute.

Wednesday’s permits are the latest step in Trump’s strategy to make North America self-sufficient in energy and a dominant exporter.

Tyler Durden Thu, 04/16/2026 - 11:05

Trump Signs Pipeline Permits To Boost US–Canada Oil Flow

Authored by Kimberley Hayek via The Epoch Times,

President Donald Trump issued several pipeline permits on April 15, including one for the construction of a new pipeline to facilitate the transportation of crude oil and petroleum products between the United States and Canada, according to documents released by the White House.

The action covers four permits in total. The permit authorizing construction was issued to the Bakken Pipeline Company LP for pipeline facilities in Burke County, North Dakota. Other permits were issued for the maintenance and operation of existing pipelines at border locations in North Dakota and Michigan. The recipients of those operational permits are “Enbridge Energy, Limited Partnership” and “Enbridge Pipelines (Southern Lights) L.L.C.”—both indirect subsidiaries of Canadian pipeline giant Enbridge Inc.

According to the White House documents, the permits cover transport of crude oil and petroleum products of every description—refined and unrefined—including naphtha, liquefied petroleum gas, natural gas liquids, jet fuel, gasoline, kerosene, and diesel. The permits explicitly exclude natural gas subject to the Natural Gas Act.

Wednesday’s permits reflect the administration’s sweeping effort to expand America’s domestic and cross-border energy infrastructure.

At the CERAWeek energy conference March 2025 in Houston, Energy Secretary Chris Wright had said that Trump’s pledge to lower energy costs by boosting oil and natural gas production would require a corresponding increase in infrastructure investment.

“If ‘Drill, baby, drill’ is to [lower energy costs], we’re going to have to ‘Build, baby, build,’” Wright told reporters.

The Enbridge permits issued Wednesday supersede authorizations dating to 1991, 1994, and 2008, effectively reissuing and consolidating federal approval under the current administration. The cross-border pipeline landscape has grown increasingly complex in recent years—there are more than 2.6 million miles of oil and gas pipelines crisscrossing the United States, with 71 networks spanning the border with Canada, meaning they are primarily regulated under federal law and by treaties between the two countries.

Enbridge has long been a central player in that network, though not without controversy: The company confirmed in late 2024 that it had cleaned up roughly 60 percent of a nearly 70,000-gallon oil spill from one of its lines in Wisconsin.

The U.S.–Canada energy relationship has also been shadowed by tariff tensions. Trump threatened to impose 25 percent tariffs on Canada over border security concerns, along with a reduced levy of 10 percent on Canadian oil and gas. Wednesday’s permits signal continued bilateral energy cooperation even as trade negotiations between the two countries remain active.

The permits arrive against a backdrop of years of pipeline battles between Washington and Ottawa.

Trump has pushed for the revival of the Keystone XL pipeline, which would transport crude oil from Canada to the United States.

“The company building the Keystone XL Pipeline that was viciously jettisoned by the incompetent Biden Administration should come back to America, and get it built—NOW!” Trump wrote on Truth Social in February 2025.

The Keystone XL project was ultimately suspended on Jan. 20, 2021, when then-President Joe Biden revoked its presidential permit, citing the need to “advance environmental justice.” Biden argued the project would “not serve the U.S. national interest” based on an analysis conducted under the Obama administration citing climate risk.

Canada has been eager to expand its access to U.S. markets. Calgary-based Enbridge Inc. has been in talks with customers about expanding its Mainline pipeline network—the largest pipeline system in North America—to handle growing volumes of Canadian oil output. Canada currently sends 97 percent of its oil exports and 100 percent of its natural gas exports to the United States, leaving it with limited leverage in any trade dispute.

Wednesday’s permits are the latest step in Trump’s strategy to make North America self-sufficient in energy and a dominant exporter.

Tyler Durden Thu, 04/16/2026 - 11:05

Can You Price In No Longer Pricing Things In?

By Michael Every of Rabobank

At this point it isn’t a random walk but a determined march: markets have decided the Iran war and the Hormuz blockades are over, and everything is going to be better than normal imminently: the Nasdaq and S&P are at all-time highs and even worries over private credit are receding. In the real world, there are signs that back that stance and ones that say otherwise.

Iran warned it could sink US ships in Hormuz if they police the waterway and the Houthis could blockade the Red Sea. The FT reports Iran used a Chinese spy satellite to target US bases. Note the subtext to Trump’s subsequent Truth Social post: “China is very happy that I am permanently opening the Strait of Hormuz. I am doing it for them, also - And the World. This situation will never happen again. They have agreed not to send weapons to Iran. President Xi will give me a big, fat, hug when I get there in a few weeks. We are working together smartly, and very well! Doesn't that beat fighting??? BUT REMEMBER, we are very good at fighting, if we have to - far better than anyone else!!!"

Yet the US and Iran are reportedly weighing a two-week truce extension and inching towards a framework deal, as the latter feels the economic pressure; crucially, China is seen pressing Iran to open Hormuz; and Tehran has offered a proposal allowing ships to exit the Oman side of the Strait free of attack, if a wider deal with the US can be struck. That looks like the face-saving way for the regime to re-open the Strait… if there can be a “grand bargain” on the nuclear issue, missiles, and its regional proxies. Matching that trend, Israel is close to a one-week ceasefire with Hezbollah in Lebanon, even if there is no clear way to rid the country of the terror group despite the Israeli and Lebanese authorities now seeming united in wanting to do so.

Potentially, we could still see this war end in line with what has been our base case for a while now: a broad --if naturally disputed-- US win vs Iran by the second to third week of April, giving it de facto control of a new Middle East (or, less likely, a belated TACO). Yet the downside is longer blockades, with tail risks of any new escalation deepening and/or widening the war. The latter scenario might only be priced into the physical market, not the oil futures markets.

Meanwhile, the US Beige Book noted “The conflict in the Middle East was cited as a major source of uncertainty that complicated decision-making around hiring, pricing, and capital investment, with many firms adopting a wait-and-see posture… Many Districts continued to report signs of consumer financial strain, increased price sensitivity, and rising demand at food banks and other social service organizations, while spending among higher-income consumers was resilient… several Districts reported that rising crop prices helped offset steep price increases of fertilizer and fuel.”

Australia needs more energy imports as a fire rages at one of its two oil refineries, the latest in a series of such accidents at the few western facilities still operating. An accident, sabotage, or just the result of over-working the facility in a crisis? Regardless, the founder of Ivanhoe Mines states that: “The Australian mining industry is now on the verge of collapse due to diesel shortages… the fuel supply chain that powers every drill, truck, and haul is about to snap.” Who drove that decline in refineries, one may ask? Markets and their uncanny ability to ‘price things in.’

China’s Canton Fair is clouded by higher costs hitting its exporters due to the Iran war.

Brussels warned EU countries not to hoard fuel within their borders weeks after telling everyone there was no risk of an energy crisis. Reportedly, the European Commission also wants to see fossil fuels taxed higher than electricity to drive the EU towards renewable energy in the long term – as member states are doing the opposite in the face of this crisis so far; and, from a broader geopolitical perspective, as we see the warning that ‘Fuel scarcity is European armies’ ‘Achilles’ heel.’ No military, and no mine, currently runs on electricity.

But let’s look to the ‘all-time highs’ post-war period and see if that’s really priced in or not.

Lots of scores will be settled in lots of places. As just one example of many, Trump has warned that the US-UK trade deal “can always be changed” with bilateral relations in a “sad state” after Britain was “not there when we needed them” on Iran.

There will be major structural shifts. For example, the IMF warns the war threatens to turbocharge a looming government debt crisis. The longer the blockade goes on, the more this is true. Defence spending is going to soar even higher even faster in even more places.

Specifically, the US is pushing for a staggering $1.5 trillion defense budget, up nearly 50%, and it’s using Iran and the ‘China threat’ to convince Congress to spend (read: borrow) much more. Very significantly, the Pentagon has also approached US automakers and manufacturers to ask if they can boost weapons production, e.g., GM or Ford shifting capacity from civilian to military. I’ve long argued neo-mercantilism and the US WW2 heuristic underlined ‘resilience’ requires a broad manufacturing base that can be adapted for military purposes in a crisis; that requires commodities and energy; and, in the face of others’ neo-mercantilism, it also means tariffs, subsidies, price controls, and a stronger state hand.

Indeed, alongside the farcical disconnect between the oil screen price --where investigations are underway into potential insider trading before Trump policy pivots-- and the physical price of a barrel, that Pentagon request is a clear ‘Reverse Perestroika’: a shift from markets and consumption to state-led military-industrial production, which requires other key components to succeed, including the Fed.

Notably, Trump is refusing to allow to halt the criminal probe of Fed Chair Powell --the DOJ made a surprise visit to the Fed’s under-renovation headquarters, where they were turned away: a blockade?-- while threatening to fire him if he won’t step down from the FOMC when his term ends on May 15. Powell says he won’t step down from the Committee until Warsh is appointed as Chair by the Senate; the Senate won’t appoint Warsh until the criminal prosecution of Powell is dropped. Does somebody need both sides to go to Pakistan to sort this out? But seriously, explain the logic of the Fed remaining untouched while epic shifts in geopolitics and political economy are underway; and do it without saying, “because markets.”

On which note, New York Mayor Mamdani also announced ‘Happy Tax Day’ aimed at raising $500m by taxing billionaires’ pied-a-terres in Manhattan: how much are their equivalents in Miami, one wonders?

Happy Tax Day, New York. We’re taxing the rich. pic.twitter.com/Wky2LFXC9W

— Mayor Zohran Kwame Mamdani (@NYCMayor) April 15, 2026

Pulling this all together, it’s not just that the market has priced in only one possible geopolitical scenario ahead: it’s not pricing that geopolitics suggests a future when things aren’t priced in as the norm. At which point, what are markets for? Try answering that without answering what GDP is for.

I conclude by noting that a social media meme going round yesterday had two dinosaurs looking at a huge meteor approaching to impact the earth. The first says, “That doesn’t look good for us.” The second replies, “Don’t worry, it’s priced in.”

Tyler Durden Thu, 04/16/2026 - 10:25

Former Virginia Lt. Gov. Justin Fairfax And Wife Found Dead In Apparent Murder-Suicide

Justin Fairfax, the former lieutenant governor of Virginia, and his wife, Cerina Fairfax, a dentist, were found dead in an apparent murder-suicide at their home shortly after midnight on Thursday, according to Fairfax County police.

Justin Fairfax in 2019. He served as Virginia’s lieutenant governor from 2018 to 2022.Credit...Parker Michels-Boyce for The New York Times

Fairfax, 47, shot and killed his wife before turning the gun on himself, Police Chief Kevin Davis said. The couple’s teenage children were home at the time of the shootings.

Davis described the deaths as the result of an “ongoing domestic dispute surrounding a complicated or messy divorce.” Court records show that the Fairfaxes had been engaged in divorce proceedings this year.

Fairfax, a Democrat, served as Virginia’s lieutenant governor from 2018 to 2022 after winning election in 2017 alongside Gov. Ralph Northam. He largely remained out of the spotlight until 2019, when a series of scandals engulfed the state’s Democratic leadership.

The crisis began when old medical school yearbook photos surfaced appearing to show Governor Northam in blackface. As calls mounted for Northam’s resignation, two women came forward to accuse Mr. Fairfax, who would have been next in line for the governorship, of sexual assault. One alleged the assault occurred in 2000 at Duke University; the other said it took place in 2004 at the Democratic National Convention, the NY Times reports.

Fairfax denied both allegations - but the accusations effectively stalled momentum to force Northam from office. The situation grew more chaotic when the state attorney general, the third-ranking Democrat in Virginia’s executive branch, admitted he too had worn blackface as a college student. All three men ultimately served out their full terms.

Insisting he had done nothing wrong, Fairfax launched a bid for governor in the 2021 Democratic primary. In one televised debate, he accused his rival, former Gov. Terry McAuliffe, of “treating me like Emmett Till” for calling on him to resign over the sexual assault allegations.

With minimal institutional support and limited fundraising, Fairfax finished fourth in the primary, receiving just 3.6 percent of the vote. Mr. McAuliffe won the nomination but lost the general election to Republican Glenn Youngkin.

You're never going to believe what happened next. https://t.co/pvwGEeQald

— Stephen L. Miller (@redsteeze) April 16, 2026

Fairfax had kept a low public profile since leaving office. Thursday’s tragedy marks a grim end to a once-promising political career that was repeatedly overshadowed by scandal and personal turmoil.

Tyler Durden Thu, 04/16/2026 - 10:05

DOJ Petitions Court To Toss Convictions Of Unpardoned Jan. 6 Defendants

Authored by Janice Hisle via The Epoch Times,

The Justice Department is petitioning an appeals court to throw out the convictions of unpardoned defendants who were charged in connection with the U.S. Capitol breach on Jan. 6, 2021.

“The United States has determined ... that dismissal of this criminal case is in the interests of justice,” read a motion filed April 14 in the case of Elmer Stewart Rhodes III, Kelly Meggs, Kenneth Harrelson, and Jessica Watkins.

All four defendants belonged to the Oath Keepers, a group that says its members are mostly former military, police, and medics who are dedicated to upholding Constitutional rights. Rhodes, the group’s founder, had been one of the most high-profile Jan. 6 defendants; he was sentenced to 18 years in prison for seditious conspiracy and other charges.

In their motion filed in the U.S. District Court for the District of Columbia, federal prosecutors said they would file separate motions-to-vacate in “similar” Jan. 6 cases.

Those cases involve four other Oath Keepers—Roberto Minuta, Edward Vallejo, David Moerschel, and Joseph Hackett—along with Proud Boys members Ethan Nordean, Joseph Biggs, Zachary Rehl, and Dominic Pezzola.

The Proud Boys group has said it is open to men who are “gay or straight,” and of all races and religions who support Western values that created the modern world.

After being sworn in as the 47th president in 2025, President Donald Trump granted full pardons to about 1,500 people who faced Jan. 6 charges.

However, he stopped short of pardoning 14 defendants who were Oath Keepers and Proud Boys.

He instead commuted their sentences, leaving their convictions still standing.

Cases involving 12 of those defendants are part of the motion that U.S. Attorney Jeanine Pirro signed on April 14.

The remaining two defendants who had not received pardons include Oath Keeper associate Thomas Caldwell, who received a delayed presidential pardon in March 2025. The other is former Proud Boy Jeremy Bertino, who admitted guilt and served as a prosecution witness against other Proud Boys.

If the Washington appeals court vacates the convictions as requested, prosecutors then would move to dismiss the cases “with prejudice,” Pirro wrote.

That specification would permanently bar prosecutors from refiling the charges.

Since 1977, the U.S. Supreme Court has “recognized that appellate courts have authority” to take the action Pirro has requested, the filing said.

Some members of the Oath Keepers and Proud Boys did receive pardons, including former Proud Boys national chairman Henry “Enrique” Tarrio. He had been convicted of seditious conspiracy and other charges that brought a 22-year sentence—the longest meted out to any Jan. 6 defendant.

Last year, Tarrio, Biggs, Rehl, Nordean, and Pezzola filed a $100 million civil lawsuit against the federal government, alleging prosecutors violated their constitutional rights.

Nicholas Smith, an attorney who represents Nordean, expressed gratitude to the Justice Department for its “wise decision” in seeking dismissal of the convictions.

“We don’t want a precedent that says that any physical confrontation between protesters and law enforcement means a crime akin to treason, such as seditious conspiracy,” Smith said.

However, former Metropolitan Police Officer Michael Fanone, who suffered a heart attack after a rioter shocked him with a stun gun on Jan. 6, spoke out against the Justice Department’s motion to throw out the convictions.

“I would remind Americans that these were traitors to this country,” Fanone said. “They planned, incited, and carried out an insurrection.”

In a post on X, John Strand, a Jan. 6 defendant and conservative activist, said the government’s move constituted “exoneration” for defendants who were “entrapped and crushed by an evil, weaponized government.”

Tyler Durden Thu, 04/16/2026 - 09:45

US Industrial Production Unexpectedly Drops In March (After Huge Upward Revision For Feb)

At first glance the 0.5% MoM decline in US Industrial production (considerably worse than than the 0.1% MoM rise expected - and dragging YoY growth in IP down to +0.74%) is bad news... suggesting immediate impacts from the war are being felt and sparking headlines decrying President Trump's actions.

Source: Bloomberg

However, while we agree that the decline is notable, the fact that February's data was revised drastically higher, from +0.2% to +0.7% MoM, means that over the two months, industrial production overall is actually higher (and up 0.2% since the end of the war)...

Source: Bloomberg

Energy was behind the slowdown:

• March oil and gas drilling posted a decline of 2.4% m/m after rising 0.6% in Feb., Federal Reserve data show.

• March consumer energy products was decline of 2.1% m/m after rising 2.3% in Feb.

• March commercial energy products declined 0.3% m/m after increasing 0.8% in Feb.

.

A similar picture evolves for Manufacturing production which fell 0.1% MoM in March (worse than the 0.1% MoM rise expected) after February's 0.2% MoM rise was revised up 2x to a 0.4% MoM rise. Nevertheless, Manufacturing production YoY slowed to just 0.5%...

Source: Bloomberg

Bottom Line: it's not great news that industrial production is slowing... but it's not as dire as it looks at first glance (and remember Manufacturing PMIs were strong)...

...and energy production is unpredictable at best in the current environment.

Tyler Durden Thu, 04/16/2026 - 09:35

War Economy Returns: From Trucks To Tanks, Pentagon Looks To Automakers To Rebuild America's Arsenal

With two active conflict areas in Eurasia - the Russia-Ukraine conflict in Eastern Europe and the U.S.-Iran theater in the Gulf - the world is moving deeper into a war cycle. The latest indicator is not only that militaries around the world are beginning to stockpile one-way attack drones, but also the early-stage push to convert underused civilian industrial capacity, including struggling auto production lines, into wartime manufacturing hubs.

The Wall Street Journal is out with a new report that describes just that, noting that the Trump administration is exploring whether U.S. manufacturers, including GM, Ford, GE Aerospace, and Oshkosh, can convert civilian industrial capacity into weapons production as conflicts across Eurasia drag on and deplete critical weapons stockpiles.

The effort to boost the war economy is part of what Defense Secretary Pete Hegseth has described as putting the defense industrial base on a "wartime footing."

A Department of War official said the agency "is committed to rapidly expanding the defense industrial base by leveraging all available commercial solutions and technologies to ensure that our warfighters maintain a decisive advantage."

Senior defense officials told the outlet that Mary Barra of General Motors and Jim Farley of Ford Motor have been briefed on converting auto production lines into weapons manufacturing facilities. The report did not provide details on what types of weapons could be produced in the factories or on the downtime required to convert those lines.

Those officials said GE Aerospace and vehicle and machinery maker Oshkosh were among other manufacturers briefed.

The historical precedent is that America converted its automotive base during World War II to produce record numbers of main battle tanks, bombers, and fighter planes to win the war.

Let's not forget that GM and Ford both repurposed production lines during the Covid pandemic to produce ventilators, so it's not far-fetched that these automakers could one day be rolling tanks down the production lines.

One major hurdle is the far-left unions, which could force labor actions such as strikes, as the broader left-wing ecosystem has transformed into a pressure campaign against anything related to Trump, whether foreign or domestic policy.

Evidence of converting underused civilian industrial capacity has already been seen with the German automaker Volkswagen, which will soon transform its Lower Saxony factory from producing T-Roc Cabriolets to manufacturing parts for the Iron Dome missile interceptor system.

In mid-February, we highlighted a conversation between Anduril Industries founder Palmer Luckey and Joe Rogan about how the U.S. won World War II. Luckey noted:

"How did the United States win World War II … Manufacturing. Some of it was new factories, but most of it was taking over old factories."

.@PalmerLuckey “WWII we turned our automotive factories into missile factories” https://t.co/P6ZjQsPjeW pic.twitter.com/uUJmcTTupU

— Molly O’Shea (@MollySOShea) April 16, 2026

That's why Chinese autos will never flood the U.S.: it would destroy the auto industrial base that can easily be converted to wartime production. However, the current left-wing regime in Europe has already chosen to hollow out its industrial core by flooding the continent with BYD cars.

This is wartime stuff.

Tyler Durden Thu, 04/16/2026 - 09:35

War Economy Returns: From Trucks To Tanks, Pentagon Looks To Automakers To Rebuild America's Arsenal

With two active conflict areas in Eurasia - the Russia-Ukraine conflict in Eastern Europe and the U.S.-Iran theater in the Gulf - the world is moving deeper into a war cycle. The latest indicator is not only that militaries around the world are beginning to stockpile one-way attack drones, but also the early-stage push to convert underused civilian industrial capacity, including struggling auto production lines, into wartime manufacturing hubs.

The Wall Street Journal is out with a new report that describes just that, noting that the Trump administration is exploring whether U.S. manufacturers, including GM, Ford, GE Aerospace, and Oshkosh, can convert civilian industrial capacity into weapons production as conflicts across Eurasia drag on and deplete critical weapons stockpiles.

The effort to boost the war economy is part of what Defense Secretary Pete Hegseth has described as putting the defense industrial base on a "wartime footing."

A Department of War official said the agency "is committed to rapidly expanding the defense industrial base by leveraging all available commercial solutions and technologies to ensure that our warfighters maintain a decisive advantage."

Senior defense officials told the outlet that Mary Barra of General Motors and Jim Farley of Ford Motor have been briefed on converting auto production lines into weapons manufacturing facilities. The report did not provide details on what types of weapons could be produced in the factories or on the downtime required to convert those lines.

Those officials said GE Aerospace and vehicle and machinery maker Oshkosh were among other manufacturers briefed.

The historical precedent is that America converted its automotive base during World War II to produce record numbers of main battle tanks, bombers, and fighter planes to win the war.

Let's not forget that GM and Ford both repurposed production lines during the Covid pandemic to produce ventilators, so it's not far-fetched that these automakers could one day be rolling tanks down the production lines.

One major hurdle is the far-left unions, which could force labor actions such as strikes, as the broader left-wing ecosystem has transformed into a pressure campaign against anything related to Trump, whether foreign or domestic policy.

Evidence of converting underused civilian industrial capacity has already been seen with the German automaker Volkswagen, which will soon transform its Lower Saxony factory from producing T-Roc Cabriolets to manufacturing parts for the Iron Dome missile interceptor system.

In mid-February, we highlighted a conversation between Anduril Industries founder Palmer Luckey and Joe Rogan about how the U.S. won World War II. Luckey noted:

"How did the United States win World War II … Manufacturing. Some of it was new factories, but most of it was taking over old factories."

.@PalmerLuckey “WWII we turned our automotive factories into missile factories” https://t.co/P6ZjQsPjeW pic.twitter.com/uUJmcTTupU

— Molly O’Shea (@MollySOShea) April 16, 2026

That's why Chinese autos will never flood the U.S.: it would destroy the auto industrial base that can easily be converted to wartime production. However, the current left-wing regime in Europe has already chosen to hollow out its industrial core by flooding the continent with BYD cars.

This is wartime stuff.

Tyler Durden Thu, 04/16/2026 - 09:35

Sotomayor Apologizes After Criticizing Kavanaugh Over Immigration Case

Authored by Tom Gantert via The Epoch Times,

U.S. Supreme Court Associate Justice Sonia Sotomayor apologized in a statement for comments she recently made about Associate Justice Brett Kavanaugh.

“At a recent appearance at the University of Kansas School of Law, I referred to a disagreement with one of my colleagues in a prior case, but I made remarks that were inappropriate,” Sotomayor said in the statement released by the Supreme Court.

“I regret my hurtful comments. I have apologized to my colleague.”

Sotomayor was at an event April 7 at the University of Kansas School of Law when she criticized Kavanaugh over his stance involving U.S. Immigration and Customs Enforcement agents stopping individuals to question them about their immigration status.

Her remarks appeared to reference the Supreme Court’s Sept. 8, 2025, emergency order in Noem v. Vasquez Perdomo, which allowed immigration enforcement to continue while legal challenges proceed.

The Supreme Court issued a temporary order allowing the practice to continue while the case moves through the courts.

In a concurring opinion, Brett Kavanaugh wrote that such encounters are typically brief and that individuals are generally released quickly.

“I had a colleague in that case who wrote, you know, these are only temporary stops,” Sotomayor said, referencing Kavanaugh, according to Bloomberg.

“This is from a man whose parents were professionals. And probably doesn’t really know any person who works by the hour.”

Kavanaugh’s parents were Martha Kavanaugh, an associate judge in Maryland, and Everett Kavanaugh Jr., a Washington lobbyist.

Sotomayor’s parents were Juan Sotomayor, a tool worker with a third-grade education, and Celina Baez, a nurse.

Jonathan Turley, a law professor at George Washington University Law School, said Sotomayor’s criticism of Kavanaugh suggested “that he is an out-of-touch elitist.”

“The suggestion is that Kavanaugh has avoided—and continues to avoid—interactions with people who get paid on an hourly basis—while she is more inclusive in her circle of friends. It is obviously false, but more importantly, petty and unfair,” Turley posted April 12 on X.

David French, a former attorney and columnist for The New York Times, said Sotomayor’s comments were “inappropriate.”

“This gets a little personal feeling to me,” French said on The Dispatch podcast on April 14.

“Maybe they know each other well enough to where she can make assumptions or make educated guesses about what his parents experienced or their broader experience. I don’t know. To me, it’s not even a close call. It was over the line in its personal nature.”

The Epoch Times reached out to Sotomayor and Kavanaugh for comment.

Tyler Durden Thu, 04/16/2026 - 09:10

Trump's Blockade Is Breaking Iran... And European Elites Are Angry

Authored by Brandon Smith via Alt-Market.us

In March I published an article titled “Global Energy Crisis Or Iranian Surrender In Five Weeks?” in which I outlined the “worst case” and “best case” scenarios for the war in Iran. In my best case scenario I argued in favor of a specific plan to end the conflict quickly: A US naval blockade of the Strait of Hormuz, flipping the tables on Iran by blocking or seizing any oil tankers or gas tankers which exit Iranian ports.

Two weeks later, the Trump Administration has implemented this exact strategy.

The effectiveness of the blockade is already apparent; the propaganda bots on social media are scrambling to find a narrative to counter it, but they are failing. Why? Because Iran already tried to lock down the strait (which is an international waterway), and any government cheering (or secretly cheering) for Iran’s actions is now unable to make a rational argument against the US doing the same thing to Iran. As I noted in March:

“We constantly hear about international exposure to the Hormuz shutdown, but the media rarely mentions that Iran is the MOST exposed economy of all. For now, Iranian oil ships continue to pass through the strait and these vessels are Iran’s economic lifeline. Strategic estimates suggest that without the steady passage of these oil tankers, the Iranian economy would completely collapse within five weeks…”

I then summarized what I believed was the simplest solution to end the war:

“Iranian cargo ships can be targeted for seizure by a US blockade of the Persian Gulf well away from the narrow waters of the Hormuz. The ships could be destroyed, but I suspect the Department of Defense will try to avoid oil spills and ecological disasters. Instead, the best option is to capture Iran’s tankers and then redirect the oil to countries in danger of shortages.

Iran has the option of shutting off GPS tracking for their vessels (shadow fleet), but this would not help them maneuver past a comprehensive US blockade. In other words, I argue that the US could turn the tables on Iran and use their reliance on the Hormuz against them.

With Iran’s economy in shambles, they will no longer be able to purchase missiles or drones for resupply from Russia and China. They won’t be able to pay for logistic resources for their military and they won’t be able to contain public unrest. The Iranians would be forced to negotiate and the war would be over quickly with minimal risk to US troops.”

For now, the US is not seizing Iran’s tankers and is merely sending them back to where they came from. However, it would seem that the Trump Administration and their military advisers have come to the same basic conclusions I did.

For years I have expressed my concerns about a potential conflict in Iran, largely because of the precarious global economic risks associated with mass energy shortages caused by a closure of the Hormuz, which transits around 25% of the world’s energy exports. That said, I do not care about “picking sides” when it comes to Israel or Iran.

This debate is irrelevant and designed, I think, to divide US conservatives over ancient tribal vendettas that do not involve us. I don’t care about the Israeli government or “Zionism” and I certainly don’t care what happens to the theocratic and tyrannical Muslim regime in Iran. We have much more important things to think about.

What matters to me is how the US and the American people are affected by geopolitical events. There has been endless debate on what the war is really about, whether it be Iranian nukes, Israeli schemes, Saudi schemes, control of global oil markets, etc. (I think every action the Trump Administration has take so far from Venezuela to Iran has largely been designed to contain China). In any case, a long term closure of the Hormuz will eventually result in market cascades and a stagflationary crisis.

What matters now is ending the war as quickly and decisively as possible without leaving the Homuz and 25% of global energy exports under Iran’s control. After that, people can wrestle over the “moral and constitutional” quandary to their heart’s content.

First, I think it’s vitally important to address some lies and disinformation being spread by propagandists and foreign agents online about the US blockade, so let’s quickly go down the list…

Lie #1: The US Is Blocking All Ships Traveling Through The Strait

This is false. The US is only blocking ships coming from Iranian ports. All other ships have been allowed to pass without incident. This lie is being spread by disinfo agents all over social media and it is also being spread by foreign governments from the UK to France to China. This, to me, says A LOT about the true agenda of these countries, given that they said little or nothing about Iran locking down the strait.

Lie #2: Chinese Vessels Have Broken The Blockade And The US Is Afraid

Nope. All Chinese vessels coming from Iranian ports have been turned away and any vessels coming from alternative ports have been allowed to pass. At the time this article is being published, only one ship from an Iranian port has allegedly slipped through the blockade, though the story on this ship might be fabricated. All other Iranian ships have been repelled.

Lie #3: The Blockade Puts US Naval Ships At Serious Risk

No, it does the opposite. US ships have no need to traverse the narrow Hormuz to blockade it. All they have to do is wait outside of it and turn back Iranian tankers that approach. No mines, no missiles, no drones, no tiny attack boats, nothing Iran has the ability to deploy has much of a chance of harming the US Navy. In fact, reports indicate ships like the USS Abraham Lincoln (an aircraft carrier) have already been targeted hundreds of times by Iran with no damage taken.

There is nothing Iran can do about a comprehensive blockade.

Lie #4: Iran Is Used To Sanctions And Can Hold Out Longer Than The US

No, they can’t. Only 7% of energy exports going to the US travel through the Hormuz. Iran’s entire economy hangs by a thin thread and that thread is oil exports to countries like China or Vietnam.

Iran is reportedly losing around $430 million each day that their ships remain stuck in the strait, and they have already taken around $270 billion in infrastructure damages. Iran pays for new weapons and military logistics with oil revenues. Their soldiers are paid in part with oil revenues. They mitigate civil unrest with oil revenues.

I suspect that the blockade will force Iran back into negotiations within a couple weeks. That’s how little time they have left.

Lie #5: Iran Has Alternative Ways To Bypass The Blockade

No, they don’t. Overland routes without ample pipelines are no substitute for the ease of oil tanker shipments. Even if they did have such pipelines, those lines could be easily destroyed.

By extension, as Iran’s oil exports stack up they will quickly run out of storage space, which means they will have to shut down drilling. This would cause significant damage to their oil infrastructure within weeks due to pressure differentials.

Recent news indicates that Iran has already halted all petrochemical exports until further notice. If true, this proves that the blockade is highly effective.

Lie #6: The Chinese Will Intervene And Force The Strait To Reopen

As noted, the strait is not closed. Only Iranian ports are closed. Furthermore, China has stayed away from direct intervention in the Hormuz because they simply don’t have the naval capacity to square off with the US even if they wanted to.

Keep in mind, only a week ago the Chinese government vetoed a UN resolution to reopen the strait when they thought Iran was going to control it. The CCP is impotent and they can do nothing.

Lie #7: The US Is Losing All Its Allies Over The Blockade

Wrong. What the blockade (and the war in general) is doing is exposing the countries which were pretending to be our allies when it was convenient. I examined this problem in my last article “The US Separation From Europe And NATO Is Long Overdue”, and this brings me to my final point on the war.

The fact that the European elites are suddenly so concerned with the US blockade, enough to call for a “coalition” to reopen the strait and “circumvent” the US, tells us all we need to know. I continue to believe that the globalists in these nations have been feeding off the US while at the same time organizing a “multicultural alliance” behind the scenes – A socialist new world order to supplant western civilization and leave the US behind as a husk.

Part of this agenda clearly involves a partnership with Islamic fundamentalists as a goon squad to oppress native western populations. This is why the elites have flooded Europe with third world migrants – Ignoring the concerns of citizens and even arresting people who speak out.

This is also why the Pope is so adamant to call for a Muslim/Christian pact (while he blatantly ignores the fact that Europeans have been terrorized by Muslim immigrants for over a decade). Let’s not forget that during the pandemic lockdowns, the Vatican joined with the globalists to form the Council for Inclusive Capitalism (run by Lynn Forester de Rothschild). Modern-era Popes are not friends to conservatives or Christians, but I plan to go into that problem in my next article.

The blockade, I believe, is so effective that it has struck fear in Iran, fear in China, and fear in the liberal order in Europe which was counting on the war to drag on for months or years. Look at how angry they all are that Trump flipped the script on the Hormuz? Why all the emotion and irrational hand wringing after the strait has been opened to MORE ships and oil traffic? Why all the panic when oil prices are falling? It doesn’t make sense unless they WANT the US to fail.

Regardless of how you might feel personally about the Iran war, it is undeniable that the situation has revealed many of our supposed allies as enemies. In reality, they were always enemies. The only thing that has changed is that the truth is finally out in the open.

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

Tyler Durden Thu, 04/16/2026 - 07:25

Speculation Explodes Following Disappearance Of 10th Expert With UFO And Nuclear Secrets

Authored by Steve Watson via Modernity.news,

Following the revelation that yet another government contractor with links to nuclear secrets and suspected dark project UAP information has vanished, speculation as to what exactly is going on has massively intensified.

The case of Steven Garcia, a 48-year-old property custodian at the Kansas City National Security Campus in Albuquerque, New Mexico, marks the latest entry in a disturbing sequence of deaths and vanishings among individuals connected to NASA, nuclear weapons components, and sensitive aerospace research.

Los Angeles Magazine contributor Lauren Conlin joined “Jesse Weber Live” to discuss the case, noting its eerie parallels to prior incidents.

Garcia’s disappearance is being framed as the 10th missing person case in the UFO mystery.

The disturbing pattern of deaths continues to baffle.

Garcia was last seen leaving his Albuquerque home on foot on August 28, 2025, carrying only a handgun. He left behind his phone, keys, wallet, and car. Officials have described him as potentially a danger to himself, but no trace has been found in the remote area where he lived.

Conlin emphasized the chilling similarities during the NewsNation segment. “This one is chilling to me because, as you said it echoes Neal McCasland’s disappearance. It was like the same thing in the state of New Mexico,” she stated. McCasland, a retired Air Force major general with deep UFO community ties, vanished from the same region earlier in 2026.

Garcia held top security clearance at the Kansas City National Security Campus (KCNSC), which manufactures over 80 percent of the non-nuclear components for U.S. military nuclear weapons.

“So Stephen Garcia, I mean he had a top security clearance at KCNSC,” Conlin explained. “They manufacture 80% of non-nuclear components that go into building military nuclear weapons and I mean he oversaw tens of millions dollars of assets, equipment some classified.”

She added that Garcia’s role involved handling “some classified, some not,” leaving open questions about his knowledge base. “We don’t know what was going on in this guy’s head right, the officials had said that he may have been a danger to himself.”

Neighbors noted he lived in a very remote area and worked in aerospace research. Conlin even raised a provocative possibility on air: “I have to wonder, again I know this sounds crazy but it could be an option here is the government doing this? Are they taking out their own people because of XYZ.”

The timing adds to the intrigue. Garcia’s disappearance occurred amid heightened congressional scrutiny of UAP (unidentified anomalous phenomena) videos and related programs, including a deadline set by Rep. Anna Luna for the release of specific footage.

Multiple individuals on the list of those who have vanished or died worked at or with NASA’s Jet Propulsion Laboratory (JPL), Los Alamos National Laboratory, or Air Force Research Laboratory projects involving asteroid defense, rocket engines, and classified aerospace systems.

No official connections have been publicly confirmed by law enforcement between the cases, yet the geographic clustering in New Mexico and California, combined with shared professional networks in nuclear and space tech, continues to fuel speculation.

Online discussions on X and Reddit’s r/UFOs and related communities have exploded with theories attempting to explain the pattern. Many users point to foreign intelligence operations, suggesting adversaries like China or Russia may be targeting U.S. experts to steal or neutralize knowledge of advanced technologies, including those potentially linked to UAP reverse-engineering programs. Ex-FBI officials have been cited in reports noting that foreign services have long pursued Americans with critical tech secrets.

Others speculate a domestic cover-up angle: that insiders with knowledge of classified UAP programs or non-human technology are being silenced to delay or control disclosure efforts, especially as Congress pushes for more transparency on UAP videos and related footage. Some tie the cases to specific projects like advanced alloys (e.g., Mondaloy) or propulsion systems funded through overlapping NASA, DoE, and Air Force channels.

A smaller but vocal group questions whether personal factors—extreme stress from high-clearance work or mental health crises—could explain the cluster, though critics argue the sheer number and similarities make coincidence unlikely.

Calls for an independent task force or deeper FBI probe appear frequently in threads, with users linking the pattern to historical UFO lore around sites like Roswell and Wright-Patterson Air Force Base.

Whatever the explanation, the cases underscore ongoing questions about transparency in America’s most sensitive scientific and defense programs. As more details emerge on Garcia and the others, the public demand for answers only intensifies. The full picture may yet reveal connections that challenge assumptions about how these secrets are guarded—and at what cost.

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Tyler Durden Thu, 04/16/2026 - 06:30