David Rosenberg is chief economist and strategist at Gluskin Sheff, and was previously the chief North America economist at Merrill Lynch.

Before getting into the details of the jobs report, let me just quickly state the broad conclusions up front.

My forecast is that the long lineup of Fed officials who were so vocal about raising rates this summer are going to be too busy at summer school (as they go back to the drawing board) to tighten monetary policy.

Hopefully they have been silenced for good and learned a valuable lesson that they really should cast their vote at the FOMC meeting rather than in front of the TV cameras.

As for the markets, the data imply a reversal in investor-based odds of a rate hike, which had moved to a better than 50/50 bet for late July, and that in turn is bearish for the U.S. dollar, but bullish for Treasurys, curve-steepening trades, gold, emerging markets and rate-sensitive stocks like utilities and telecom services.

Defense sectors like consumer staples should benefit, but the banks that had been hoping for the Fed to provide some net interest margin expansion are certainly not going to be celebrating today's data.

We had been saying for some time that if there was something in recession in the U.S. it was productivity and that a huge gap had opened up over the past six months between weak business output growth and the pace of job creation.

Well, now we know how that gap is being resolved - with the latter playing catch-down to the former.

As everyone is left wondering "what happened?" here is what happened.

Productivity declined at a 1.7% annual rate in Q4 of last year and followed that up with a 1.0% drop in Q1. On average, labor input expanded at nearly a 2½% annual rate and nonfarm business output growth barely averaged 1%.

So do the math.

PDF File (Click Through)Well Worth the View of how America has Changed and the Perils that our Youth Face and the Future of Our Country with STATS...At:

Where are our Children Going? What does it Mean for Us and the Future of America?

The Democratic presidential candidate and Vermont senator says he looks forward to sitting down with Clinton and discussing "what kind of platform she is going to support" going forward. Sanders states he is "...in it to the Convention"

The Democratic presidential candidate and Vermont senator says he looks forward to sitting down with Clinton and discussing "what kind of platform she is going to support" going forward. Sanders states he is "...in it to the Convention"

Mr. Sanders Goes to Washington: Obama Presiding Over "Not a Marriage, But a Truce"
-- June 10, 2016

Bill Curry, former Clinton White House Counsel, says Sanders has built an independent political movement that is going to hold the Democratic Party accountable to the base; what is required is a frank recognition of the policy differences between the base and the leadership

From 2011 on, the State Department had a secret arrangement with the CIA, giving it a degree of say over whether or not a drone killing would take place.

Under Sec. Clinton, State Department officials approved almost every single proposed CIA drone assassination. They only objected to only one or two attacks.

The emails that are at the heart of the FBI’s criminal investigation are 2011 and 2012 messages between U.S. diplomats in Pakistan and their State Department superiors in D.C., in which the officials approved drone strikes.

Clinton’s aides forwarded some of these emails to her personal email account, on a private server in her home in suburban New York.

These are the revelations of a report by The Wall Street Journal, based on information provided by anonymous congressional and law-enforcement officials who were briefed on the FBI’s probe.

The State Department revealed in January that 22 of the emails that were on Clinton’s private server at her home contained top-secret information. These messages were not publicly released, and an investigation was eventually launched.

The White House acknowledged in a press briefing on Thursday that the FBI probe into Clinton’s handling of classified information is a “criminal investigation.” President Obama endorsed Clinton for president on the same day.

The U.S. drone program has killed hundreds of civilians in Pakistan, Yemen, Somalia, Afghanistan and more.

Pakistan is the site of more U.S. drone strikes than any other country. The Obama administration has carried out more than 370 drone attacks in Pakistan, killing as many as 1,000 civilians, including up to 200 children, according to data collected by the Bureau of Investigative Journalism.
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In 2011, some Pakistani officials pushed back against the U.S. drone assassination program, leading the U.S. State Department to ask the CIA to be more “judicious” about the timing of drone attacks. Clinton’s State Department did not oppose the CIA’s specific choice of targets, just their timing.

This led to a compromise in which the CIA gave the State Department some voice in the drone assassination process. Beginning in 2011, CIA officers began notifying diplomats in the U.S. embassy in Islamabad of planned attacks. The diplomats then conveyed the information to senior State Department officials.

This agreement gave then-Secretary of State Clinton and her aides personal say in U.S. drone killings.

Roman Bonds Reveal: Oligarchs Have Been Gameing System
ChangersPosted on June 8, 2016 by Stacy Herbert — No Comments ↓

On today’s episode of Double Down, hosts Max Keiser and Stacy Herbert are joined by Elizabeth Mizon of TheCanary.co to discuss the escalating and confusing higher education costs at a time when even the IMF admits neoliberalism is ‘oversold.’ Roman Bonds found in England exposing how Financial Oligarchs have been Gameing the System for Centuries.

Followed up by DAS from Australia speaking about the Demise of Capitalism/TPP/TPIP and MORE!

In this episode of the Keiser Report, Max and Stacy discuss bad boys and bond markets. They also discuss ‘modern serfdom’ as American employees increasingly rely on loans from their employers. In the second half, Max interviews Satyajit Das, author of Extreme Money, about the drift to autarky.

Though often condemned to the fringes of American political life, the radical left has changed the course of US history.

In 1923, Claudia Jones and her parents emigrated from Port of Spain, Trinidad to New York City. As a teenager in Harlem during the 1930s, she joined the international movement to free the Scottsboro Boys, nine black teenagers accused of raping two white women on a train in Alabama.

This activism compelled her to join the Communist Party USA (CPUSA), which had worked tirelessly on the Scottsboro defendants’ behalf, and she spent the rest of her life as a committed Communist, serving the party in several roles, including editor of the Daily Worker.

In 1955, after being hounded by the federal government for nearly a decade, Jones was deported. She lived out the rest of her life in London, where she continued her work as a left-wing activist and journalist. She now rests in Highgate Cemetery, next to Karl Marx.

Jones’s biography appears in Howard Brick and Christopher Phelps’s excellent book, Radicals in America: The US Left Since the Second World War, because it — as well as the stories of other American radicals like mid-century unionist Emil Mazey and contemporary environmentalist Winona LaDuke — illustrates their theory that the American left must exist both at the margins and in the mainstream.

As a black, immigrant, working-class woman, Jones could hardly have been more marginalized. Joining the CPUSA — as an open admirer of Stalin’s Soviet Union no less — was probably not the best path to the American mainstream.

Yet Jones committed to the Communist Party not because she relished alienation, but because she believed it was the correct vehicle to fashion a more just world. Her objective was to take her fringe vision of the future and make it a reality.

Brick and Phelps argue that, like Jones, radicals must be estranged from the mainstream — lest they become liberals committed to its defense — while simultaneously shaping it to reflect their political visions.

The Left’s mission is to maintain “ardent opposition to the status quo, as outsiders if need be, while also seeking solidarity with strong social forces, here and now, that might be capable of changing it root and branch.”

This task “poses a dialectic of margin and mainstream” through which Brick and Phelps analyze the American left’s history since World War II.
Radical Roots

Although Radicals in America is a book about the last seventy years, it is impossible to make sense of its story without looking to the antebellum abolitionist movement from which the modern American left emerged.
Continued at:

As the territory faces austerity cuts, polling stations have been cut to a third of what was planned – but residents hope election will send message to Washington.

‘Bernie Sanders is right. We don’t want a bailout’

To some voters, the decision comes down to the candidates’ stance on a controversial proposed rescue package currently before the US Congress that would, among other measures, appoint a federal oversight board to control the handling of the giant public debt. In May, the island’s government defaulted on a $422m loan repayment.

Clinton said she had concerns but backed the bill while Sanders, in a speech at San Juan’s University of Puerto Rico, said it was “morally wrong” to hand control of decisions that affected millions on the island to a Washington-appointed unelected body that was “accountable to nobody”. He used the same address to suggest the hedge fund owners of the majority of the territory’s debt needed “a massive haircut”.

“Bernie Sanders is right,” said taxi driver Armando Raigozo. “We don’t want a bailout but we need help to get on our feet again without giving up control. People want to work and we also have thousands of prisoners that we’re paying to sit in cells that could be out repairing roads and working in the fields.”

Another growing worry is the advance of the Zika virus. The number of reported cases grew by almost 200 to 1,072 in the week to 1 June, according to the Centers for Disease Control and Prevention. The impact on tourism is being felt.

“It has hurt the island tremendously,” Prats said. “Tourism is an isolated sector of the economy that was reflecting a positive growth.

“Conventions were being held here, hotels being built, Major League baseball games scheduled and all of a sudden those things start to fall apart because a tourist or athlete fears coming to Puerto Rico would expose them to Zika, as if it was any different than the Zika in Florida, or Texas, or Brazil.”