The Full Belmonte, 2/4/2023
Dozens of soldiers freed in Russia-Ukraine prisoner swap
“KYIV, Ukraine (AP) — Dozens of Russian and Ukrainian prisoners of war have returned home following a prisoner swap, officials on both sides said Saturday.
Top Ukrainian presidential aide Andriy Yermak said in a Telegram post that 116 Ukrainians were freed.
He said the released POWs include troops who held out in Mariupol during Moscow’s monthslong siege that reduced the southern port city to ruins, as well as guerrilla fighters from the Kherson region and snipers captured during the ongoing fierce battles for the eastern city of Bakhmut.
Russian defense officials, meanwhile, announced that 63 Russian troops had returned from Ukraine following the swap, including some ‘special category’ prisoners whose release was secured following mediation by the United Arab Emirates.
A statement issued Saturday by the Russian Defense Ministry did not provide details about these ‘special category’ captives….” Read more at AP News
China plays down Blinken’s canceled visit over balloon
“TAIPEI, Taiwan (AP) — China played down the cancellation of a visit by U.S. Secretary of State Antony Blinken after a large Chinese balloon suspected of conducting surveillance on U.S. military sites roiled diplomatic relations, saying that neither side had formally announced any such plan.
‘In actuality, the U.S. and China have never announced any visit, the U.S. making any such announcement is their own business, and we respect that,’ China’s Ministry of Foreign Affairs said in a statement Saturday morning.
Blinken was due to visit Beijing on Sunday for talks aimed at reducing U.S.-China tensions, the first such high-profile trip after the countries’ leaders met last November in Indonesia. But the U.S. abruptly canceled the trip after the discovery of the huge balloon despite China’s claim that it was merely a weather research ‘airship’ that had blown off course.
The Pentagon rejected that out of hand — as well as China’s contention that the balloon was not being used for surveillance and had only limited navigational ability….” Read more at AP News
“The US job market just won’t quit. While that’s a sign of underlying strength for the economy and great news for American workers, it’s also a possible pitfall if wage gains don’t continue to ease. Hiring surged in January and the jobless rate fell to a landmark 53-year low, potentially bolstering the Federal Reserve’s argument that more interest-rate hikes are needed to finish off inflation. Fed Chair Jerome Powell echoed a growing number of economic experts when he expressed optimism that policymakers can pull off a soft landing, avoiding a downturn by quelling price rises without pushing millions out of work. That seems to be the sentiment elsewhere, too. Along with the Fed, the European Central Bank hiked rates this week in its quest to pull inflation back to its 2% target. But there’s a wild card when it comes to global inflation: China. The abrupt reopening of the world’s second-largest economy from Covid lockdowns is set to provide a boost to global growth, albeit at a catastrophic cost in Chinese lives lost. And the sudden rise in consumer demand could trigger price jumps on commodities like oil and gas, putting upward pressure on inflation again.” [Bloomberg]
Mind-blowing labor market
Illustration: Shoshana Gordon/Axios
“The U.S. added 517,000 jobs last month, bringing the unemployment rate to 3.4% — the lowest since 1969.
Why it matters: Experts thought the Fed's campaign of interest-rate hikes would slow down the red-hot labor market. But it appears to have only gotten hotter.
What's next: The blockbuster numbers could set up a conundrum for the Fed, Axios Macro authors Neil Irwin and Courtenay Brown write.
‘It's ... difficult to see the Fed stop raising rates and entertain ideas of rate cuts when there is such explosive economic news coming in,’ Seema Shah, chief global strategist at Principal Global Investors, wrote in a note.” [Axios]
50-car train derailment causes big fire, evacuations in Ohio
“EAST PALESTINE, Ohio (AP) — A train derailment and resulting large fire prompted an evacuation order in an Ohio village near the Pennsylvania state line on Friday night, covering the area in billows of smoke lit orange by the flames below.
About 50 cars derailed in East Palestine as a train was carrying a variety of freight from Madison, Illinois, to Conway, Pennsylvania, rail operator Norfolk Southern said in a statement Saturday. There was no immediate information about what caused the derailment. No injuries were reported.
Firefighters have been pulled from the immediate area and unmanned stream devices are being used protectively while crews try to determine which cars are still actively burning, village officials said in a separate statement Saturday. They said they hoped to use drones to assess the scene in daylight, and warned that residents might hear more explosions as the fire burns….” Read more at AP News
“The Spanish designer Paco Rabanne created futuristic fashion that gave shape to the dreams of the space age and redefined couture. He died at 88.” [New York Times]