We often post political analysis but rarely stray into the crocodile-infested swamp of partisan politics. It is our duty to our readers from across a broad political spectrum to stay true to our mission to provide, mostly, positive economic, financial, and political analysis.
FBI Caught In The Political Cross-Fire
After today, however, we do have to register our disgust with how the good men and women of the Federal Bureau of Investigation (FBI) have been and are currently being used as political pawns by both political parties.
We have been around the block a few times and have had the privilege of knowing, personally, federal agents and members of the secret service, all charged with protecting the lives of Americans and various government leaders from President Jimmy Carter to former Secretary of State Hillary Clinton, among others.
All had their political perspectives and views and personal feelings on the leaders they protected. By no means were their politics uniform and some did not even care for those they were charged to defend. Yet we have no doubt each would have taken a bullet for those they had the responsibility to protect.
They were consummate professionals with the same constitutional right to their own opinions, political views and perspectives, and religion, for that matter. Thank goodness it was the good old days before the new tech NSA could crib our conservations or text messages.
2016 Presidential Election
During the 2016 presidential campaign, we felt for FBI Director James Comey, who was in an impossible situation. We remember reading he had no choice to break precedent and speak up about the Democratic candidate’s email problem as he had a revolt on his hands at the FBI, which, according to the reporting at the time, consisted mostly of conservatives,
After Hillary lost, Bill Clinton summed up what many Democrats and even some Republicans still believe: “James Comey cost her the election.”
… why someone who prides himself on being apolitical became embroiled in a great political scandal
… why, long before October, did he set himself on a course where he began violating strongly held Justice Department and F.B.I. norms that prohibit speaking publicly about investigations, particularly of people you don’t charge and particularly when doing so might interfere with an election?
…F.B.I. agents still tend to be white males. In a way, this situation is systemic: to be promoted, you have to be willing to relocate, which can be difficult for women with children. A current agent also says that there’s a strong conservative bent: if a TV is on in an F.B.I. building, it’s likely to be Fox News. – Vanity Fair, February 2017
Republicans Turn
Now it’s the Republicans turn.
Today was a dark day for American democracy, in our opinion. Not only was the FBI deputy director forced to resign early, but the House (not so) Intelligence Committee also voted along party lines to release classified material with the appearance of the sole purpose to distract and obfuscate the ongoing investigation of Special Counsel Robert Mueller of Russian interference in the 2016 presidential election.
The majority party also announced they have opened an investigation into the Department of Justice and the FBI. Smells like shoddy and shady politics to us, maybe even crossing the Rubicon in an attempt to obstruct justice. No doubt the special counsel will be looking into it.
Trump Campaign Under FBI Investigation Before Election
One fact that looms large, at least to us, and seems to undercut the Republican suspicions of biasness at the Department of Justice and FBI is that the Trump campaign was already under an FBI investigation before election day. In fact, it began way back in July 2016.
If the American voting public had been aware of the investigation and the seriousness of the allegations — potential campaign collusion with the Russians — it would have surely swung at least the 77K votes in the three key swing states that put Trump over the top and, instead, thrown the election to Hillary Clinton.
By commenting publicly on the Clinton investigation and leaving the public in the dark on the Trump FBI investigation, if anything, in hindsight the FBI appears to have been biased toward the Trump campaign. Are we missing something?
Consequences Of Nasty Politics
The unintended consequences of today’s ugly politics in the U.S. could torpedo the global bull market in stocks.
What appears to be an attack on the rule of law in the United States could, if not checked, quicken an already plummeting perception of American leadership throughout the world and may give rise to domestic political instability. No wonder the dollar is tanking when the fundamentals dictate it should be soaring.
Fear The American Street
If you have been reading us over the past year, we are very worried about the tranquility of the “American Street”, especially given the widening wealth gap. A constitutional crisis, which may very well result from today’s events, could lead to a major political rupture in the U.S. body politic. Not good for capital flows.
The rally on the Street seems to thus far pacified the “American Street” for now, however, turning new investors and Bitcoin moms into the new trading geniuses, as they whip and drive their crypto and cannabis stocks.
Let’s Not Lose Our Souls
All we are saying is give peace Mueller and the FBI a chance. Let the chips fall where they may and let justice be done.
Finally, let’s not lose our souls in this bull market by looking the other way and letting our most trusted democratic institution, the rule of law, which, has probably been the most significant factor of the world’s secular bullishness on America, fall by the wayside.
And what do you benefit if you gain the whole world but lose your own soul? – Jesus of Nazareth
By the way, this just in:
Washington (CNN) The Trump administration has declined to impose sanctions against companies and foreign countries doing business with blacklisted Russian defense and intelligence entities.
The administration was required by law to name the companies and individuals Monday, and possibly sanction them under a 2016 law meant to punish Russia for its interference in the 2016 US election, as well as its human rights violations, annexation of Crimea and ongoing military operations in eastern Ukraine. – CNN
If Deputy Attorney General Rod J. Rosenstein is forced to resign? Tilt, game over.
Buckle up, folks.
Hat Tip: 
Other Risk Indicators
Global Macro Monitor 