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Strategies & Market Trends : The Financial Collapse of 2001 Unwinding -- Ignore unavailable to you. Want to Upgrade?


To: TobagoJack who wrote (7828)8/16/2021 1:16:04 PM
From: elmatador  Respond to of 13775
 
Welcome to the thread TJ!



To: TobagoJack who wrote (7828)8/18/2021 11:42:52 AM
From: elmatador  Respond to of 13775
 
Brazil's central bank buys 41.8 tonnes of gold in June

(Kitco News) - Gold is back in demand among central banks. The Brazilian central bank increased its precious metals holdings by more than 52% in June.

According to a report from the Rio Times, the Banco Central do Brasil bought 41.8 tonnes of gold last month. Its gold reserves as of the end of the month are valued at $6.873 billion. According to reports, this is the central bank's biggest gold purchase since at least December 2000.

kitco.com



To: TobagoJack who wrote (7828)9/2/2021 2:53:35 AM
From: elmatador  Respond to of 13775
 



To: TobagoJack who wrote (7828)9/5/2021 3:23:12 AM
From: elmatador  Respond to of 13775
 
Not to worry, TJ. They will not come after you.
They want only the big fish.

What happened was that the creation of China were not Huawei boss who will go down with his allegiance to the CCP.

The Billionaires. (Tech Industry)
The ones that are creating a new educated class outside the books of the CCP (Education entrepreneurs)
The ones who influence the masses (The Entertainers) are one by one being decimated and shown who is the boss.

But do not drop your guard.
HK will not be spared. It has outlived its usefulness
Your future will be to kow tow to the CCP and you will be left alone.



To: TobagoJack who wrote (7828)9/27/2021 10:22:16 AM
From: elmatador  Respond to of 13775
 
How should we prepare to profit from the slo mo China's demolition?

Xi Jinping is not going to stop despite the disruptions his actions are causing.

We need to see where the money will be moving to. For it will move

...foreign investors, who own more than $800bn of financial assets in China’s onshore markets, and to those people who own and trade the stocks of more than 230 Chinese companies listed on US exchanges and capitalised at more than $2tn.
...

As well as investors holding individual Chinese stocks, these include many retail savers who have put money into China funds, Asia funds and many tech and growth-orientated funds.


We need to decide whether investing more cash in China right now, or even retaining the holdings we bought in the past, is a good idea. I have no definitive answers but the prospects do not look good



Source: Financial Times




To: TobagoJack who wrote (7828)11/15/2021 8:45:21 AM
From: elmatador  Respond to of 13775
 
EU to rival China’s Belt and Road with overseas infrastructure plan

November 15, 2021 4:20 PM



GLASGOW: The European Union (EU) will announce a new overseas infrastructure investment framework this week to compete with China’s Belt and Road Initiative.

The “Global Gateway” will emphasise sustainability and the EU’s values to strengthen ties with partners. In the Indo-Pacific, the framework is set to focus on digital connectivity as the 27-nation bloc looks to increase engagement with the region.

According to a draft of the “European Strategy of Global Gateway Partnerships” seen by Nikkei Asia, the framework will focus on five areas, with the emphasis dependent on geographic region: digital transition, clean energy transition, transport, people-to-people connections, and trade and resilient supply chains.

“These investments must be comprehensive, secure and sustainable, with the aim of bringing countries, societies and people closer together, enabling the twin green and digital transitions in line with the EU’s values, especially democracy, rule of law and human rights,” the draft states.

The flagship of the framework for the Indo-Pacific region will be “digital partnerships with key like-minded countries,” such as on promoting regulations around artificial intelligence. The EU will also explore a potential connectivity partnership with the Association of Southeast Asian Nations, similar to ones already in place with Japan and India.

The initiative comes as the EU pushes to implement its recently announced Indo-Pacific strategy, which underscores deepening engagement with like-minded partners in the region for the bloc’s security and prosperity, including ensuring robust supply chains for semiconductors.

The draft states it is in the EU’s interest to ensure global connectivity develops “in line with Europe’s norms, standards and values.”

The bloc also wants to “reduce strategic dependencies”, likely a reference to easing its reliance on some countries in key sectors such as semiconductors, which have been exposed by the Covid-19 pandemic.

The draft is due to be discussed internally and announced this week, meaning the final content and wording could still change.

The EU also made a thinly veiled expression of scepticism toward Beijing’s overseas infrastructure investment model, and the bloc’s intention to offer an alternative option for sustainable development.

The EU “seeks to promote transparency and balance increasing investments from other players, which use connectivity to promote their own different economic and societal model and advance their political agenda”, the draft says.

The initiative will be backed by resources from the EU, its member states, and development finance institutions.

European public funds are expected to leverage further financing for the initiative in low- and middle-income countries, mainly through the EU’s new investment framework, the European Fund for Sustainable Development plus (EFSD+).

The EFSD+ makes available several billion euros in blended grants, and can provide €40 billion (US$46 billion) of guarantees for investments.

By way of comparison, although there is no official or definitive number on the financial scale of the BRI, Chinese President Xi Jinping pledged US$124 billion to that initiative in 2017.

The BRI’s waves are being felt in the EU, with investments into the Western Balkans and Eastern Europe.

The EU is also being pulled into the problem of large loans made for economically unviable projects – a characteristic that has been associated with the BRI. In April, Montenegro asked for help from the EU in paying off a US$1 billion loan to China over a highway construction project.



To: TobagoJack who wrote (7828)1/11/2022 10:47:35 AM
From: elmatador  Respond to of 13775
 
Are you still postng stuff about Huawei?



To: TobagoJack who wrote (7828)1/11/2022 10:47:48 AM
From: elmatador  Respond to of 13775
 
Are you still posting stuff about Huawei?



To: TobagoJack who wrote (7828)3/22/2022 11:02:26 AM
From: elmatador  Respond to of 13775
 
Still afraid of Elmat... :-)



To: TobagoJack who wrote (7828)10/22/2022 1:27:40 AM
From: elmatador  Respond to of 13775
 
Why Japan Stands Virtually Alone in Keeping Interest Rates Ultralow

The yen is plummeting and inflation is climbing, but Japan’s economic circumstances have led to a view that raising rates would do more harm than good.

Tokyo’s business district. Diverging economic circumstances in Japan and the United States have led to drastically different monetary policies.Credit...Noriko Hayashi for The New York Times


By Ben Dooley

Oct. 21, 2022

TOKYO — As the Federal Reserve has repeatedly pushed up American interest rates in an effort to tame rampant inflation, virtually every major central bank in the world has scrambled to keep up the pace. And then there’s the Bank of Japan.

The yen is in free fall. Inflation by some measures is the highest in decades. And conventional wisdom says a rate increase could ease both problems. But the Bank of Japan — never one to follow the crowd — has remained steadfastly committed to its ultralow interest rates, arguing that making money more expensive now would only suppress already weak demand and set back a fragile economic recovery from the pandemic.

Prime Minister Fumio Kishida voiced strong support this week for the Bank of Japan’s monetary policy, even as the yen fell to a 32-year low against the dollar, a plunge that has contributed to price increases in a country unaccustomed to them and put more pressure on his unpopular administration.

He offered his backing a day before the Bank of Japan’s governor, Haruhiko Kuroda, made clear in comments to Parliament that the bank would not change course anytime soon. All the members of the bank’s policy board, Mr. Kuroda said, agree that “under the current economic conditions, it’s appropriate to continue monetary easing.”

ELMAT: Japan thought it could fine tune inflation:
His rationale is simple. Japan wants good inflation — the kind created by lively consumer demand. But it has gotten bad inflation — the kind created by a strong dollar and supply shortfalls related to the pandemic and the war in Ukraine — and that is why the bank should stay the course.

The diverging economic circumstances in the United States and Japan have led to drastically different monetary policies, a gap that has helped drive down the yen as investors seek better returns elsewhere.

In the United States — where the economic recovery has been rapid and wages are rising apace — the Fed is seeking to squash inflation by throttling demand. It believes it can achieve the goal in part by discouraging spending through higher interest rates, though some prominent economists have warned that going too far could be punishing for the economy.

Japan’s economy has barely returned to its prepandemic levels.Credit...Noriko Hayashi for The New York Times

ELMAT: Japan is trepped:
In Japan, however, there is broad agreement that — at least for now — a rate rise would do more harm than good. The Japanese economy, the world’s third largest, has barely returned to its prepandemic levels, and wages have stagnated despite a labor market so tight that unemployment remained below 3 percent during the pandemic’s worst months.

ELMAT: Japan tried to be too clever for their own good:
“In order to bring inflation in Japan down, you would have to slow demand rather sharply, and that’s tricky because demand was already sort of weak relative to other economies,” said Stefan Angrick, a senior economist at Moody’s Analytics in Japan.

While inflation pressures in the United States have been broadly distributed, in Japan they have primarily hit essentials like food and energy, for which demand is satisfied largely through imports.

Inflation in Japan (excluding volatile fresh food prices) has reached 3 percent, the government reported on Friday, the highest since 1991, excluding a brief spike related to a 2014 tax increase. But stripped of food and energy, Japanese prices in September were just 1.8 percent higher over the last year. In the United States, that number was 6.6 percent.

The reasons for the low Japanese figure are diverse and not well understood. Experts have found explanations in stagnant wages and the deleterious effects on demand from an aging, shrinking population.

ELMAT: This is why Brazil is better at fighting inflation. Inflation is a fact of life. Not in Japan:
Perhaps the largest contributor, however, is a public grown used to stable prices. Producer prices — a measure of inflation for companies’ goods and services — have climbed nearly 10 percent over the last year. But Japanese companies, unlike their American counterparts, have been reluctant to pass on those additional costs to consumers.

That means much of the current inflation pressure is coming from the strong dollar and supply issues affecting imports factors outside Japan and therefore outside the Bank of Japan’s control. Under those circumstances, bank officials “know full well that driving up interest rates is not going to attenuate those price pressures — it’s just going to push up business costs,” said Bill Mitchell, a professor of economics at the University of Newcastle in Australia.

The Bank of Japan introduced its current monetary easing policy in 2013, when the prime minister at the time, Shinzo Abe, pledged strong measures to stimulate economic growth that had stagnated for decades.

The plan included unleashing a torrent of government spending and reshaping the structure of Japan’s economy through initiatives like encouraging more women to join the work force.

ELMAT: Japan threw money at the problem:

But the most important element was making money cheap and readily available, a goal the Bank of Japan achieved by bottoming out interest rates and vacuuming up bonds and equities. Mr. Kuroda pledged that it would maintain those policies until inflation — which had been nearly nonexistent — reached 2 percent, a level economists believed was necessary to lift wages and expand the country’s anemic economy.

Weak consumer demand has made officials at Japan’s central bank wary of raising interest rates. Credit...Noriko Hayashi for The New York Times

Nearly a decade later, Japan’s longtime commitment to using ultralow rates to stimulate growth has made its economy particularly vulnerable to the damage that rate increases can cause.

Between 2014 and 2022, according to data from the Japan Housing Finance Agency, the share of variable-rate mortgages rose to 73.9 percent from 39.3 percent as home buyers, convinced that rates would not go up, piled into the riskier, but cheaper, financial products. A change in lending rates would increase payment costs, crimping already tight household budgets.

A rate increase could also make it more difficult for Japan to service its own gargantuan debt, which in 2021 stood at almost 260 percent of annual economic output. The debt concerns have become even more salient as the government has provided enormous fiscal support to businesses and households to counteract the economic damage from recent world events. While disagreement exists over whether Japan’s debt is sustainable, no one wants to risk finding out.

“Fiscal policy and monetary policy are joined at the hip, and that’s what’s making it so difficult for the Bank of Japan to make a move,” said Saori Katada, an expert on Japanese financial policy at the University of Southern California. She added that policymakers feared that a wrong move could unleash a “doomsday scenario.”

The weak yen has presented a difficult messaging problem for the Japanese government.

The currency’s depreciation has contributed to tidy profits for export-heavy companies like Toyota, whose products have become cheaper for consumers overseas. Mr. Kishida has also said he expects the cheap yen to draw international tourists, who started to return this month after a nearly three-year absence caused by Japan’s tough pandemic border restrictions.

But the currency’s weakness has been a drag on the finances of households and smaller businesses and could have a damaging effect on public sentiment, said Gene Park, a professor of political science at Loyola Marymount University in Los Angeles who studies Japan’s monetary policy.

The Bank of Japan has said the effect of the weak yen is mainly positive. But on Wednesday, Mr. Kuroda told a parliamentary budget committee that the rapid depreciation had become a “minus.” Japan’s finance minister, Shunichi Suzuki, on Thursday called the fall’s speed “undesirable” and pledged “appropriate” action.

Image

Inflation has reached 3 percent in Japan, lower than in many other countries but still the highest in decades.Credit...Noriko Hayashi for The New York Times

In September, the Finance Ministry conducted a one-time yen-buying operation, its first in over two decades, but the effort did nothing to stop the currency’s slide. This week, investors were looking for signs of a smaller “stealth” intervention by the government to prop up the yen. A sudden move higher by the yen on Friday raised speculation that Japan had in fact intervened.

It’s unclear whether raising interest rates would even arrest the yen’s plunge. Rate increases by other central banks have done little to protect their own currencies against the muscular dollar. And the political perils of sudden economic moves were made clear this week when Liz Truss stepped down as Britain’s prime minister six weeks into the job.

Still, some speculators have bet that the Bank of Japan will fold under the gathering pressure and raise rates.

The bank is unlikely to flinch, Professor Mitchell said.

“They’re sort of impervious to Western ideological pressure,” he said, adding, “They have worked out, sensibly, that the best strategy at the moment is what they’re doing: Hold the fort.”

Hisako Ueno contributed reporting.



To: TobagoJack who wrote (7828)4/16/2023 1:41:47 AM
From: elmatador  Respond to of 13775
 
Singapore Absorbing Chinese Capital Flight.

Will crush Singapore economy in no time.

From Switzerland of Asia to Iceland of Asia

Singapore is an Iceland on the making. Money that used to flow to Hong Kong is now using Singapore as the conduit.
Expect the Singapore economy to inflate.
"prices of all private residential properties surged by 29.7% year-on-year in 2022 — the highest since 2007."

"The number of Singapore's family offices - which handle investments, taxation, wealth transfer and other financial matters for the super rich - surged to about 700 by the end of 2021 from 400 at the end of 2020."



To: TobagoJack who wrote (7828)1/21/2024 2:39:44 AM
From: elmatador1 Recommendation

Recommended By
carranza2

  Respond to of 13775
 
China's original goal was to graduate to the big boys rich club using emerging markets as the spring board. Their goal was New York, London Berlin and Paris.
But money didn't guarantee access to the club. It dawned on the Chinese that the West rich club just wanted them to do the donkey work only.

Chinese are smart they changed their plan!
Now China wants its own rich boys club. It is Beijing, Moscow Sao Paulo, Riyadh, Delhi and Dubai.

The other countries (Africa, LatAm and S. E. Asia) were telling China: You came here, did business. Learned and now you want to chill with the rich kids?
China discovered that it is the EMs that they need to chill with.

Brazil is quickly becoming China's Canada. Russia becoming China's Australia and Taiwan has already been China's Germany for a long time.

Note the West is trying to cut the China's Germany Taiwan to mainland

But China -and the billionaires Taiwanese who got rich doing business with China- will make sure that that won't happen.

You are regretting blocking Elmat TJ...



To: TobagoJack who wrote (7828)4/2/2024 1:34:37 AM
From: elmatador  Respond to of 13775
 
So farewell, Hong Kong. The vibrant, pulsating city-state that grew, under British rule, into one of the world’s great financial, business, cultural and tourism hubs has finally been brought to heel.

Lies, ideology and repression: China seals Hong Kong’s failed-state fate

Simon Tisdall



The former British territory was a flawed success. Xi Jinping has ended that with the punitive and hastily passed article 23

Sat 23 Mar 2024 16.00 GMT

So farewell, Hong Kong. The vibrant, pulsating city-state that grew, under British rule, into one of the world’s great financial, business, cultural and tourism hubs has finally been brought to heel. Browbeaten, abused, silenced. Trust Xi Jinping, China’s dementor president, to suck out all the joy. Last Wednesday was the UN’s International Day of Happiness. But it was a sad, bad day for Hong Kong.

That was the moment residents woke up to the news that Hong Kong’s puppet legislature, acting on Beijing’s orders, had unanimously abolished its right to think, speak and act freely. Eating noodles is a seditious act now, if the noodles have secret foreign connections. Under new security laws, known as article 23, life imprisonment awaits those who defy the behemoth to the north.

Commending the laws, John Lee, Hong Kong’s placeman chief executive – whose approval rating is at a record low – hit new highs of paranoia. The measures would “allow Hong Kong to put a stop to espionage activities, the conspiracies and traps of intelligence units and the infiltration … of enemy forces”. Translated, this means locking up ordinary people who dare to speak their minds. Unhappily, most no longer do.

Article 23 is final confirmation of China’s shocking breach of faith with Britain. Beijing solemnly pledged, 40 years ago, to respect Hong Kong’s autonomy. The 1984 Sino-British joint declaration agreed the “one country, two systems” principle would continue in force for at least 50 years after the 1997 handover. China gave its word. Its word has proven worthless.

Hong Kong was unquestionably the helpless plaything of imperialists and colonialists from Lord Palmerston onwards, yet it flourishedSuch hard truths are unwelcome in Xi-land. Spokesperson Bi Haibo, of China’s London embassy, says they reflect a “colonial mentality”. This is a cheap way of dismissing all criticism, and in this case inaccurate. For many if not most Hongkongers, colonial life in the years preceding the handover was probably preferable to Xi’s unsmiling jackboot regime.

Just take a quick squint at the history. Hong Kong, a colony from 1842 until it was rebranded a British dependent territory in 1983, was unquestionably the helpless plaything of imperialists and colonialists from Lord Palmerston onwards. The opium wars were a UK national disgrace. The 19th-century exploitation of local people and successive, forcible land grabs were shameful.

Yet, for all that, Hong Kong flourished – as a trading centre and gateway to the far east, secure (save for Japan’s 1941-45 occupation) under the aegis of empire. From a barren island rock, the skyscrapers of a booming metropolis arose. Though denied full democratic rights, its people eventually prospered. Many from mainland China settled there.

Now, under the dead hand of Xi’s trademark revanchism, conformism and intimidation, the life is being squeezed out of Hong Kong by one flagrant injustice after another.

Take the case, far from isolated, of 12 people sentenced this month to up to seven years in jail for their part in pro-democracy protests in 2019. Or consider the plight of the so-called Hong Kong 47, prosecuted in a no-jury trial for organising free elections. And then there is the infamous case of Jimmy Lai, former publisher of the suppressed Apple Daily newspaper, on trial for allegedly colluding with “foreign forces”.

The relentless, groundless persecution of Lai, a British citizen, has become a potent symbol of Chinese government arrogance and impunity. In January, the UN expressed “deep concern” that key prosecution evidence had been obtained through torture. Yet Lai’s Kafka-esque ordeal, another form of torture, continues regardless.

With the security crackdown, foreign companies think of leaving, investment is drying up, the city’s economy is languishingThe passage of article 23, supplementing the notorious 2020 national security law, gives Xi’s flunkeys free rein in Hong Kong – and beyond. The laws’ assumption of extraterritorial powers places exiles at risk anywhere in the world. A torrent of international criticism last week was contemptuously dismissed by Beijing as “slander”, as if it were a personal affront to the great helmsman.

Chinese officials surely realise – and possibly do not care – that their risible over-the-top security crackdown is accelerating Hong Kong’s decline. Foreign companies think of leaving, investment is drying up, the city’s economy is languishing. Businesses worry about vague, catch-all definitions of espionage and state control of information flows, data and commercial courts.

China’s post-pandemic economic slump, exacerbated by Xi’s private sector squeeze, is adding to Hong Kong’s woes. The stock market has lost nearly half its value in three years. The property sector is in crisis, besieged by debt and raised interest rates. For many in Asia, Singapore is the new business destination of choice.

In the media and art worlds, strict censorship intensifies the chill – and the brain drain. Artists are joining an exodus of young professionals. About 154,000 Hongkongers had received visas for Britain alone, as of September last year. Yet Xi’s destructive, regressive policies remain beyond public reproach, as seen during this month’s “two sessions” parliamentary rubber-stamp fest in Beijing.

Robot-like delegates carefully skirted any mention of Xi’s serial blundering. Premier Li Qiang even cancelled the customary press conference rather than face questions. Instead, China’s official annual report card showered praise on “the sound guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era [and] the strong leadership of the Party Central Committee with Comrade Xi Jinping at its core”.

Do these bleating herds of sheepish sycophants have any idea how silly, how anachronistic this cant sounds? Probably not.

Hong Kong’s long goodbye is a cautionary tale for the modern age. A flawed but totemic success story crushed by outdated ideology, hyper-nationalism and the new emperor of Beijing. Britain and friends failed dismally to protect the former colony. Hong Kong, as it was, is over. But it does not end there.

Xi is adamant: Taiwan is next. The west cannot afford to fail again.

Simon Tisdall is the Observer’s foreign affairs commentator

Browbeaten, abused, silenced.



To: TobagoJack who wrote (7828)3/6/2025 5:17:09 AM
From: elmatador  Respond to of 13775
 



To: TobagoJack who wrote (7828)5/25/2025 5:26:21 AM
From: elmatador  Respond to of 13775
 
SoftBank’s Masayoshi Son floats idea of US-Japan sovereign wealth fund

Washington and Tokyo discuss possibility of fund that would make large-scale US tech and infrastructure investments

Under the suggested wealth fund structure, the US Treasury and the Japanese ministry of finance would be joint owners and operators of the fund, each with a significant stake. They would then open the vehicle to other limited partner investors, and could potentially offer ordinary Americans and Japanese the chance to own a slice.


Masayoshi Son is said to have outlined the idea of the joint fund to top government figures in the US and Japa

Leo Lewis and David Keohane in Tokyo and Demetri Sevastopulo in Washington Published 5 HOURS AGO

Your guide to what Trump’s second term means for Washington, business and the world

SoftBank founder Masayoshi Son has floated the idea of creating a joint US-Japan sovereign wealth fund to make large-scale investments in tech and infrastructure across the US. The idea has been raised at the highest political levels in Washington and Tokyo, according to three people close to the situation, and could become a template for other governments to forge closer investment ties with the US.

The plan, which has been discussed directly between Son and US Treasury Secretary Scott Bessent and outlined to other top government figures in both countries, has not yet crystallised into a formal proposal, according to three people close to the situation.

The joint fund idea has been raised several times in recent weeks, however, as Japanese negotiators and the Trump administration edge towards a trade deal. Japan has dug into a position where it will push for zero tariffs, while the US side has made it clear that it will go no lower than its “baseline” tariff of 10 per cent.

But following a call between Donald Trump and Japanese Prime Minister Shigeru Ishiba on Friday, the latter told domestic media he now expected that a planned meeting between the two on the sidelines of the G7 meeting in Canada in mid-June would be a “milestone” in negotiations.

Under the suggested wealth fund structure, the US Treasury and the Japanese ministry of finance would be joint owners and operators of the fund, each with a significant stake. They would then open the vehicle to other limited partner investors, and could potentially offer ordinary Americans and Japanese the chance to own a slice.

One person familiar with the discussions said that to be effective in its investment ambitions the fund would have to be “enormous” — with potentially $300bn in initial capital and then heavily leveraged.

The appeal of the joint fund would stem from its capacity to deliver a revenue stream to both governments, according to people briefed on its details.

“The theory is that Bessent is looking for revenue streams for the Treasury that do not involve raising taxes, and however far out this joint fund may sound, it would in theory provide that,” said one person briefed on the situation who added that the idea had been pitched as marking a clear break with previous strategies.

The person added that they believed Bessent “wants something that can become the blueprint for a new sovereign-to-sovereign financial architecture, while Japan wants a properly governed covenant that protects Japan from the ad hoc decisions of Oval Office politics.”

In the past, the person added, the US government, or individual state, would offer tax incentives for big direct investors to build factories or infrastructure projects. The expectation behind that strategy was that government would indirectly receive tax at some point. But investment made by the envisaged joint fund would directly deliver profits in proportion to the original investment.

Son is close to Trump and was a prominent visitor to the incoming president’s Mar-a-Lago home in December. He has been central to the joint fund proposal, said the two people close to the situation, potentially hoping that he would ultimately play a role in directing the fund’s investment decisions.

The SoftBank boss is used to making high-stakes bets and stood beside Trump in January to unveil his $500bn Stargate plan to build US data centres and artificial intelligence infrastructure with OpenAI and Oracle. It is the kind of project that could attract investment from the proposed wealth fund, said one of the people familiar with Son’s thinking.

A spokesperson for the Treasury declined to comment. SoftBank declined to comment.