Trump faces diplomatic hurdles during 28 hours in the Holy Land

American and Israeli flags flutter in the wind atop the roof of the King David Hotel, in preparation for the upcoming visit of President Trump to Israel, in Jerusalem. REUTERS/Ronen Zvulun

By Luke Baker

JERUSALEM (Reuters) – U.S. presidential trips are an opportunity to project power and burnish statesmanship. But they come with diplomatic dangers and potential pitfalls, too. For Donald Trump, several of those await in Jerusalem and Bethlehem next week.

A nine-day tour taking in Saudi Arabia, Israel, the Palestinian territories, the Vatican and NATO would be a tall order for any president. But for Trump, under siege at home over questions about his administration’s links to Russia and his firing of FBI chief James Comey, it is a particularly demanding itinerary, especially for a first overseas venture.

During his campaign, Trump promised to be Israel’s “best friend” if elected, and signaled that it was okay for the Israeli government to go on building settlements on occupied land since he didn’t regard it as an obstacle to peace.

Since taking office, however, Trump has shifted tack, urging Prime Minister Benjamin Netanyahu to “hold back” on settlements, and praising Palestinian President Mahmoud Abbas at a White House meeting this month, part of an effort to bring the sides together and launch another attempt at Middle East peace.

It looks unlikely Trump will manage to get Netanyahu and Abbas to shake hands during his 28-hour visit to the Holy Land, and the prospects of him setting a timetable for a resumption of peace talks also look dim. But that doesn’t mean other diplomatic traps aren’t lying in wait.

Perhaps the most sensitive is what Trump ends up saying — or not saying — about a promise he made during the election campaign to move the U.S. embassy from Tel Aviv to Jerusalem.

No country in the world has its embassy to Israel in Jerusalem since the status of the city remains disputed in the eyes of the international community. While Israelis call Jerusalem their “indivisible capital”, Palestinians want the capital of any future state in the east of the city.

Only once Jerusalem’s final status is agreed via direct negotiations between the Israelis and Palestinians are foreign countries likely to move their embassies to the city.

In the meantime, Trump has appointed as his envoy to Israel David Friedman, a devout Jew who insists the embassy must be moved and plans to work out of Jerusalem some days of the week.

CAREFUL STEPS

When Friedman arrived in Israel this week, his first act was to visit Jerusalem’s Western Wall, the holiest place where Jews are permitted to pray, a symbolic departure from usual protocol.

Trump intends to visit the Western Wall too, something past presidents have not done because of the political sensitivities.

The Wall stands in the Old City in the east of Jerusalem, which Israel captured during the 1967 Middle East war. Officially, the United Nations, the United States and others consider the Old City and East Jerusalem occupied territory and do not recognize Israel’s claim to sovereignty over it.

As a result, the U.S. State Department turned down a request for Netanyahu to accompany Trump and his family when they visit the site on Monday. Instead, the president will be accompanied by the rabbi of the Western Wall.

“This is the most appropriate way to show the proper deference to such a significant holy site,” a State Department official said.

Yet in an interview with Israel Hayom, a pro-Netanyahu paper, Trump said his plans “could still change” and suggested he might ask Netanyahu to join him, a last-minute move that would please Netanyahu but anger the Palestinians.

On Tuesday, Trump is scheduled to visit Abbas for an hour in Bethlehem, the birthplace of Jesus, which lies a few kilometers south of Jerusalem in the Israeli-occupied West Bank.

To get there, the president’s convoy will have to pass through Israel’s high-security checkpoint and towering concrete barriers that cut the West Bank off from Jerusalem.

Both Palestinians and Israelis will be on alert to see what language Trump uses when he meets Abbas. While the president hasn’t clearly backed a two-state solution — Israel and a Palestinian state — he is expected to voice support for Palestinian “self-determination”, a phrase that nods in the direction of an independent Palestinian state.

After negotiating that diplomatic minefield, Trump is scheduled to visit Yad Vashem, Israel’s Holocaust Memorial. He has set aside 15 minutes for the visit, unlike previous presidents who spent an hour or more at the site.

(Editing by Catherine Evans)

New ferry links North Korea and Russia despite U.S. calls for isolation

The North Korean ferry, the Mangyongbong, is docked in the port of the far eastern city of Vladivostok, Russia, May 18, 2017. REUTERS/Yuri Maltsev

By Valeria Fedorenko

VLADIVOSTOK, Russia (Reuters) – A new ferry between isolated North Korea and Russia docked for the first time at the Pacific port of Vladivostok on Thursday, in spite of U.S. calls for countries to curtail relations with Pyongyang over its nuclear and missile programs.

The launch of the weekly service linking Vladivostok and the North Korean port of Rajin also came despite North Korea’s test-firing of a new type of ballistic missile on Sunday that landed in the sea near Russia.

The ferry’s Russian operators say it is purely a commercial venture, but the service’s launch coincides with what some experts say is a drive by North Korea to build ties with Moscow in case its closest ally China turns its back.

The service is pitched at Chinese tourists wanting to travel by sea to the Pacific port of Vladivostok, according to the operators.

China has no ports on the Sea of Japan, so traveling to North Korea and on to Vladivostok is the quickest way of reaching Vladivostok by sea.

“It’s our business, of our company, without any state subsidies, involvement and help,” Mikhail Khmel, the deputy director of Investstroytrest, the Russia firm operating the ferry, told reporters.

The new ferry link comes in spite of recent calls by U.S. Secretary of State Rex Tillerson for countries to fully implement U.N. sanctions and review their ties with North Korea to pressure it to give up its weapons programs.

“We call on all nations to fully implement U.N. Security Council Resolutions, and sever or downgrade diplomatic and commercial relations with North Korea,” a spokeswoman for the U.S. State Department, Katina Adams, said when asked about the new ferry service.

Adams noted Russia’s “obligation” under U.N. Security Council resolutions, “to inspect all cargo, including personal luggage, of any individual traveling to or from” North Korea.

Journalists were unable to see passengers disembarking from the North Korean-flagged vessel Mangyongbong at Vladivostok because Russian officials kept them away from the quayside, citing unspecified security reasons.

But Reuters television was able to speak to three passengers, who said they were representatives of Chinese tourism agencies.

One of the passengers showed a photograph on her smartphone she said had been taken on board. It showed a plaque with an inscription in Korean which, she said, bore the name of North Korea’s long-dead founder Kim Il Sung.

The United States has been discussing possible new U.N. sanctions on North Korea with China, which disapproves of North Korea’s development of nuclear weapons and ballistic missiles to deliver them, but remains its main trading partner.

Washington is looking to toughen U.N. sanctions to cut off Pyongyang’s sources of funding and to block smuggling of materials needed for its weapons programs.

Russia, especially the port of Vladivostok, is home to one of the largest overseas communities of North Koreans, who send home much-needed hard currency.

To date, there are no signs of a sustainable increase in trade between Russia and North Korea, but Russia has taken a more benign stance toward Pyongyang that other major powers.

Speaking in Beijing this week, Russian President Vladimir Putin said Moscow was against North Korea’s nuclear program, but that the world should talk to Pyongyang instead of threatening it.

Asked about the ferry, Russian Foreign Ministry spokeswoman Maria Zakharova said on Thursday she “didn’t see a connection” between the new service and political issues.

(Reporting by Valeria Fedorenko; additional reporting by David Brunnstrom; Writing by Maria Tsvetkova; Editing by Phil Berlowitz)

Turkey wants U.S. envoy on Islamic State removed over Kurdish policy

Turkey's President Recep Tayyip Erdogan delivers a statement to reporters alongside U.S President Donald Trump after their meeting at the White House in Washington, U.S. May 16, 2017. REUTERS/Kevin Lamarque

By Daren Butler and Humeyra Pamuk

ISTANBUL (Reuters) – Turkey said on Thursday the U.S. special envoy in the battle against Islamic State should be removed because he supported Kurdish militants, and warned that Ankara would act unilaterally if it faced attack from the Syrian Kurdish YPG militia.

The comments, which followed a White House meeting on Tuesday between President Tayyip Erdogan and U.S. President Donald Trump, reflected Turkish anger at Trump’s decision to arm YPG fighters who are part of a force aiming to recapture the Islamic State-held Syrian city of Raqqa.

Ankara regards the YPG militia as an extension of Kurdistan Workers Party (PKK) militants fighting a decades-old insurgency in southeast Turkey, while Washington sees the YPG as its most reliable ally for the Raqqa campaign.

Turkey has long complained that U.S. policy against Islamic State in Syria has favored the YPG over Arab rebel forces, a policy that Turkish officials believe is driven partly by Washington’s envoy to the international coalition against the jihadist group.

“Brett McGurk, the USA’s special envoy in the fight against Daesh (Islamic State), is definitely and clearly giving support to the PKK and YPG. It would be beneficial if this person is changed,” Foreign Minister Mevlut Cavusoglu told NTV television.

The United States and the European Union, along with Turkey, designate the PKK a terrorist organization.

Erdogan, speaking to reporters at the Turkish embassy in Washington after the talks with Trump, said he told the U.S. president that Turkey would not hesitate to strike if it faced any sort of attack from the YPG, Turkish media reported.

“We clearly told them this: if there is any sort of attack from the YPG and PYD against Turkey, we will implement the rules of engagement without asking anyone,” Sabah newspaper cited him as saying. The PYD is the YPG’s political arm.

Erdogan did not specify what measures he might order, but said Turkey had shown its fighting capabilities when Turkish forces and Syrian rebels seized territory in northern Syria last year, pushing back Islamic State fighters and prompting a limited withdrawal of the YPG militia.

“Indeed we did this in Rai, Jarablus, al-Bab. Turkey showed what it can do,” Erdogan said. “We will not give terrorist groups breathing space domestically or abroad.”

TENSIONS WITH ALLIES

Cavusoglu said Trump had understood Turkey’s position, and did not challenge Erdogan when the Turkish president set out his possible response to the YPG.

Last month, Turkish warplanes bombed Kurdish fighters in Iraq’s Sinjar region and YPG militia in Syria, drawing rebuke from Washington which voiced concern over the air strikes and said they harmed the coalition’s fight against Islamic State.

Erdogan said that the United States had made its decision on conducting the Raqqa operation – despite Ankara’s opposition – and that Turkey could not participate given the YPG involvement.

“We told them … we do not regard your cooperation with a terrorist group in Raqqa as healthy,” he was cited as saying.

But he said he expected a role for Turkey in Syria, and repeated Turkey’s assertion that once Raqqa was retaken from Islamic State, Kurdish forces could not be left in control of an Arab city. “I believe they will knock on our door on the subject of Syria,” he said.

The tensions with Washington over the YPG come as Turkey’s relations with the European Union, and Germany in particular, have also deteriorated.

Turkey has prevented German parliamentarians visiting its Incirlik airbase, where 250 German troops are based as part of a mission which includes German surveillance planes supporting the campaign against Islamic State in Syria and Iraq.

Defence Minister Ursula von der Leyen said on Wednesday the German government had been evaluating possible alternatives to Incirlik and was considering moving the troops to Jordan.

(Additional reporting by David Dolan; Editing by Dominic Evans and Ralph Boulton)

Chicago police finalize tighter ‘use of force’ rules

FILE PHOTO: Chicago Police Superintendent Eddie Johnson arrives at a news conference in Chicago, Illinois, U.S., on September 21, 2016. REUTERS/Jim Young/File Photo

By Chris Kenning

CHICAGO (Reuters) – Chicago Police on Wednesday finalized stricter limits on when officers can use firearms and other force, the latest attempt to reform a department roiled by misconduct and criticism in the wake of a high-profile 2014 shooting of a black teen by a white officer.

Police Superintendent Eddie Johnson said the use-of-force policy changes spell out more clearly when it is considered reasonable and necessary, and include new prohibitions on force that is discriminatory or employed as punishment.

Changes also bar officers from shooting at a fleeing suspect unless the person presents an imminent threat, and require officers to use de-escalation techniques. The definition of deadly force was expanded to include chokeholds and striking a subject’s head with an impact weapon.

Experts said the changes, the first to Chicago’s policies since 2002, marks a shift in thinking about force already adopted in cities such as Seattle and Baltimore.

“This policy at the end of the day will save lives and the careers of officers,” said Chuck Wexler, executive director of the Washington, D.C.-based Police Executive Research Forum.

Finalized after months of discussion and revisions, the new rules – which also affect use of Tasers, chemical spray and canines – will start in autumn, after officer training. Johnson said they are meant to address police safety and civil rights concerns.

“I know there will be some who think these policies are too restrictive for officers to do their jobs, and some will think it will not be restrictive enough,” he told a news conference.

Some advocates for reform called it a victory and said it could help rebuild public trust. But Kevin Graham, president of Chicago’s police union, disputed in a statement that excessive force was a widespread problem or that policies needed updating.

The tightened rules come as Mayor Rahm Emanuel attempts to reform the police department.

The U.S. Department of Justice launched an investigation into Chicago Police Department practices in the wake of the 2014 incident in which black teenager Laquan McDonald was shot to death by a white officer. A video of the shooting, released in 2015, sparked days of protests.

It was one of many high-profile incidents that thrust Chicago and other U.S. cities into a national debate over the use of excessive force by police against minorities.

In January, the federal investigation found that Chicago police routinely violated the civil rights of people and cited excessive force, including cases of officers shooting at fleeing suspects and using Tasers on children. It also found racially discriminatory conduct and a “code of silence” to thwart investigations into police misconduct.

Police said the new rules apply a more restrictive justification for deadly force than required by state law.

(Editing by Matthew Lewis)

NAFTA demise fears fade as U.S. firms committed to Mexico: lobby

Frederic Garcia, president of the Executive Council of Global Companies (CEEG), gestures during an interview with Reuters in Mexico City, Mexico May 17, 2017. REUTERS/Carlos Jasso

By Dave Graham and Ana Isabel Martinez

MEXICO CITY (Reuters) – Companies no longer fear the North American Trade Agreement (NAFTA) will collapse and top U.S. multinationals in Mexico are committed to investing in the country going forward, the head of a global business lobby said on Wednesday.

Frederic Garcia, President of Mexico’s Executive Council of Global Companies (CEEG), said preparations to renegotiate NAFTA and growing awareness of the accord’s economic benefits had all but put an end to fears that the deal would be scrapped.

“There was a moment where the probability, or the perception that NAFTA would end, was very strong,” Garcia said in an interview in Mexico City. “But today I think there’s an awareness that it will continue. The big worry that the deal could come to an end is an issue that’s behind us.”

The CEEG represents a host of multinationals in Mexico including AT&T Inc <T.N>, Coca-Cola Co <K.O>, General Motors Co <GM.N>, Microsoft Corp <MSFT.O>, Exxon Mobil Corp <XOM.N>, Nestle, HSBC, Siemens and IBM Corp <IBM.N>, which it says account for around 40 percent of total foreign direct investment.

It and other business associations have been active in extolling the benefits of NAFTA to Americans to counter threats by U.S. President Donald Trump to dump the 23 year-old accord that binds the United States, Mexico and Canada.

Mexico’s Economy Minister Ildefonso Guajardo said on Tuesday he expected the U.S. government to notify Congress early next week of plans to rework the accord, yielding talks by late August.

It was not yet clear how NAFTA would be revamped, but if Mexico’s efforts to update its free trade deal with the European Union proved instructive, it could include provisions to boost corporate compliance and adherence to the law, Garcia said.

Trump said last month he was ready to renegotiate NAFTA with Mexico and Canada, though since taking the presidency in January he also has maintained that the United States could withdraw from the agreement if talks did not work in favor of his homeland.

Arguing the accord has destroyed U.S. jobs, Trump has menaced multinationals manufacturing in Mexico with punitive tariffs, and his threats to quit NAFTA. This sent the peso to a record low in January.

Earlier that month Ford abruptly canceled a $1.6 billion plant in central Mexico following verbal attacks by Trump. But as the rhetoric from the White House began to moderate, the peso has recovered somewhat, and fears for NAFTA’s future have eased.

Last week, a Mexican business lobby said it expected investment to drop slightly this year due to uncertainty over Trump, but Garcia said the CEEG would make no forecasts over projected outlays to avoid drawing attention to the matter.

“As far as the U.S. firms in the CEEG go, from the first day of the new U.S. administration they’ve stated their great interest to continue operating in Mexico (and) their great interest to continue investing in Mexico,” he said.

However, they had done so in such a way as to preserve their interests with the U.S. administration, Garcia added.

(Editing by Diane Craft)

U.S. decries Washington brawl during Turkish president’s visit

A Police officer push a man away from protesters, in this still image captured from a video footage, during a violent clash outside the Turkish ambassador's residence between protesters and Turkish security personnel during Turkish President Tayyip Erdogan's visit to Washington, DC, U.S. on May 16, 2017. Courtesy Armenian National Committee of America/Handout via REUTERS

By Yeganeh Torbati and Julia Harte

WASHINGTON (Reuters) – The United States said on Wednesday it was voicing its “strongest possible” concern to Turkey over a street brawl that erupted between protesters and Turkish security personnel during President Tayyip Erdogan’s visit to Washington, D.C.

Turkey blamed the violence outside its ambassador’s residence on demonstrators linked to the Kurdistan Workers Party (PKK), but Washington’s police chief called it a “brutal attack” on peaceful protesters.

Police said 11 people were injured, including a Washington police officer, and two people were arrested for assault. At least one of those arrested was a protester.

“We are communicating our concern to the Turkish government in the strongest possible terms,” State Department spokeswoman Heather Nauert said in a statement.

A video posted online showed men in dark suits chasing anti-government protesters and punching and kicking them as police intervened. Two men were bloodied from head wounds as bystanders assisted dazed protesters.

Washington Police Chief Peter Newsham told a news conference on Wednesday police had a good idea of most of the assailants’ identities and were investigating with the Secret Service and State Department.

One of the men arrested, Jalal Kheirabadi, told Reuters he was being beaten by three or four people when a D.C. police officer accused him of assault. He spoke by phone on Wednesday night after he was released pending a June court hearing.

Kheirabadi, 42, of Fairfax, Virginia, said he attended the protest to urge the United States to continue its support for Kurdish forces in Syria. He said he remembered being punched by three or four of Erdogan’s guards and seeing a D.C. police officer fall, but he did not recall hitting the officer.

“He stood up and protected me from them, and then he handcuffed me. He was a real gentleman, I appreciated that,” said Kheirabadi, adding that he immediately apologized to the officer.

Kheirabadi said he has lived in the United States for 13 years with his family, including a young son, and had never been in legal trouble in the United States before his arrest. “I didn’t go there to fight,” he said. “It just happened.”

TAUNTS, OBSCENITIES

A charging document for the other man arrested, Ayten Necmi, 49, of Woodside, New York, said peaceful protesters were taunted by a second group of demonstrators who shouted obscenities and taunts at them.

The document said four or five Middle Eastern men in dark suits from the second group assaulted the peaceful protesters. It said about eight people told officers they were attacked, thrown on the ground and stomped.

The Turkish Embassy said in a statement the protesters were affiliated with the outlawed PKK. The group is considered a terrorist group by both Turkey and the United States.

The embassy said Erdogan was in the ambassador’s residence after meeting President Donald Trump, and Turkish-Americans who were there to greet him responded to provocations from PKK-linked protesters.

“The violence and injuries were the result of this unpermitted, provocative demonstration,” the statement said. The claim that protesters were linked to the PKK could not be verified immediately by Reuters.

Tens of thousands of Turks have been detained as Erdogan cracked down on the media and academia following an attempted coup in 2016. Trump made no mention on Tuesday of Erdogan’s record on dissent and free speech.

House of Representatives Foreign Affairs Committee Chairman Ed Royce, a California Republican, called on Attorney General Jeff Sessions and Secretary of State Rex Tillerson “to hold individuals accountable” for the attack.

Washington Mayor Muriel Bowser and five Republican senators, including John McCain of Arizona and Marco Rubio of Florida, also condemned the assault.

Mehmet Tankan, 31, said he was one of a dozen protesters outside the ambassador’s residence chanting anti-Erdogan slogans when the brawl broke out.

Tankan said by telephone seven security personnel, some carrying firearms, rushed up and began punching him, bruising him all over his body.

Tankan said the violence was worse than when Erdogan visited Washington in 2016 and scuffles erupted between his security detail and demonstrators.

“The next time they could kill us easily. I’m scared now too, because I don’t know how it will affect my life here in the United States,” said Tankan, who lives in Arlington, Virginia.

(Reporting by Yeganeh Torbati, Julia Harte and Ian Simpson; Writing by Ian Simpson; Editing by Richard Chang, Tom Brown and David Gregorio)

Illinois’ unpaid bills reach record $14.3 billion

FILE PHOTO - Bruce Rauner talks to the media after a meeting with Barack Obama at the White House in Washington December 5, 2014. REUTERS/Larry Downing/File Photo

By Karen Pierog and Dave McKinney

CHICAGO (Reuters) – Illinois’ unpaid bill backlog has hit a record high of $14.3 billion as the legislature nears a May 31 budget deadline, the state comptroller’s office said on Wednesday.

The bill pile jumped from $13.3 billion after the governor’s budget office this week reported more than $1 billion in liabilities held at state agencies, the comptroller said.

Illinois is limping toward the June 30 end of its second straight fiscal year without a complete budget due to an impasse between Republican Governor Bruce Rauner and Democrats who control the legislature.

“It’s clear the Rauner Administration has been holding bills at state agencies in an attempt to mask some of the damage caused by the governor’s failure to fulfill his constitutional duty and present a balanced budget,” Comptroller Susana Mendoza, a Democrat, said in a statement, adding that the governor’s office was keeping lawmakers in the dark about the true size of the backlog.

Eleni Demertzis, Rauner’s spokeswoman, said instead of the “same tired partisan attacks,” Mendoza should be talking “to her party leaders about working with Republicans to pass a budget that is truly balanced and job-creating changes that will grow our economy.”

Lawmakers face a May 31 deadline to pass budget bills with simple-majority votes. The Senate on Wednesday passed pieces of a long-awaited package to stabilize state finances, including for the current and upcoming fiscal years, authorization to borrow $7 billion to pay down the bill backlog and an overhaul to state pensions.

But the House-bound legislation faces an unclear future. The Senate defeated legislation to implement the budget bill, putting its fate in doubt, while Rauner remains another question mark.

He has conditioned his support of a budget on passage of changes to workers compensation laws and a long-term freeze on property taxes. A bill for a two-year local property tax freeze fell four votes shy in the Senate, leaving a significant opening for the governor to reject the entire Democratic-crafted spending package.

The busy legislative day also included Senate passage of a gambling-expansion bill authorizing a Chicago-owned casino and a school funding revamp that allocates $215 million to help Chicago’s cash-strapped schools pay teacher pensions this year.

Rauner’s office rejected the school bill, but did not immediately comment on the other legislation.

Illinois’ reliance on continuing appropriations, court-ordered spending and partial budgets has caused the unpaid bill backlog to balloon from $9.1 billion at the end of fiscal 2016.

(Editing by Meredith Mazzilli and Matthew Lewis)

U.S. cyber bill would shift power away from spy agency

An undated aerial handout photo shows the National Security Agency (NSA) headquarters building in Fort Meade, Maryland. NSA/Handout via REUTERS

By Joel Schectman

WASHINGTON (Reuters) – A bill proposed in Congress on Wednesday would require the U.S. National Security Agency to inform representatives of other government agencies about security holes it finds in software like the one that allowed last week’s “ransomware” attacks.

Under former President Barack Obama, the government created a similar inter-agency review, but it was not required by law and was administered by the NSA itself.

The new bill would mandate a review when a government agency discovers a security hole in a computer product and does not want to alert the manufacturer because it hopes to use the flaw to spy on rivals. It also calls for the review process to be chaired by the defense-oriented Department of Homeland Security rather than the NSA, which spends 90 percent of its budget on offensive capabilities and spying.

Republican Senator Ron Johnson of Wisconsin and Democratic Senator Brian Schatz of Hawaii introduced the legislation in the U.S. Senate Homeland Security and Governmental Affairs Committee.

“Striking the balance between U.S. national security and general cyber security is critical, but it’s not easy,” said Senator Schatz in a statement. “This bill strikes that balance.”

Tech companies have long criticized the practice of withholding information about software flaws so they can be used by government intelligence agencies for attacks.

Hackers attacked 200,000 in more than 150 countries last week using a Microsoft Windows software vulnerability that had been developed by the NSA and later leaked online.

Microsoft President Brad Smith harshly criticized government practices on security flaws in the wake of the ransomware attacks. “Repeatedly, exploits in the hands of governments have leaked into the public domain and caused widespread damage,” Smith wrote in a blog post.

Agencies like the NSA often have greater incentives to exploit any security holes they find for spying, instead of helping companies protect customers, cyber security experts say.

“Do you get to listen to the Chinese politburo chatting and get credit from the president?” said Richard Clayton a cyber-security researcher at the University of Cambridge. “Or do you notify the public to help defend everyone else and get less kudos?”

Susan Landau, a cyber security policy expert at Worcester Polytechnic Institute, said that in putting DHS in charge of the process, the new bill was an effort to put the process “into civilian control.”

The new committee’s meetings would still be secret. But once a year it would issue a public version of a secret annual report.

The NSA did not immediately respond to a request for comment.

(Reporting by Joel Schectman; Editing by Jonathan Weber and David Gregorio)

U.S. jobless claims fall; continuing claims at 28-1/2-year low

FILE PHOTO: Job seekers speak with potential employers at a City of Boston Neighborhood Career Fair on May Day in Boston, Massachusetts, U.S., May 1, 2017. REUTERS/Brian Snyder

WASHINGTON – New applications for U.S. jobless benefits unexpectedly fell last week and the number of Americans receiving unemployment aid hit a 28-1/2-year low, pointing to rapidly shrinking labor market slack.

Initial claims for state unemployment benefits decreased 4,000 to a seasonally adjusted 232,000 for the week ended May 13, the Labor Department said on Thursday. That pushed claims close to levels last seen in 1973.

Data for the prior week was unrevised and claims have now decreased for three consecutive weeks. Economists polled by

Reuters had forecast first-time applications for jobless benefits rising to 240,000.

Claims have now been below 300,000, a threshold associated with a healthy labor market, for 115 straight weeks. That is the longest such stretch since 1970, when the labor market was smaller. The labor market is close to full employment, with the

unemployment rate at a 10-year low of 4.4 percent.

A Labor Department official said there were no special factors influencing last week’s data and only claims for Louisiana had been estimated.

The four-week moving average of claims, considered a better measure of labor market trends as it irons out week-to-week volatility, fell 2,750 to 240,750 last week, the lowest level since February.

Last week’s claims data covered the survey week for May’s nonfarm payrolls. The four-week average of claims fell 2,000 between the April and May survey periods suggesting further job gains this month. The economy created 211,000 job in April after

adding only 79,000 positions in March.

Labor market strength and tightening could allow the Federal Reserve to raise interest rates next month.

Expectations of a June rate hike have also been supported by data such as retail sales and industrial production, which suggested that economic growth picked up early in the second quarter after rising at an anemic 0.7 percent annualized rate in

the first quarter.

The U.S. central bank increased its benchmark overnight interest rate by 25 basis points in March and has forecast two more increases this year.

Thursday’s claims report also showed the number of people still receiving benefits after an initial week of aid dropped 22,000 to 1.90 million in the week ended May 6, the lowest level since November 1988.

The so-called continuing claims have remained below 2 million for five straight week. The four-week moving average of continuing claims declined 20,000 to 1.95 million, the lowest level since January 1974.

((Reporting by Lucia Mutikani; Editing by Paul Simao))

Vladimir Putin says can prove Trump did not pass Russia secrets

FILE PHOTO: Russian President Vladimir Putin speaks during a news conference at the Kremlin in Moscow, Russia, January 17, 2017. REUTERS/Sergei Ilnitsky/Pool/File Photo

SOCHI, Russia (Reuters) – Russian President Vladimir Putin said on Wednesday that U.S. President Donald Trump had not passed on any secrets to Russian Foreign Minister Sergei Lavrov during a meeting in Washington last week and that he could prove it.

Speaking at a news conference alongside Italian Prime Minister Paolo Gentiloni in the Black Sea resort of Sochi, Putin quipped that Lavrov was remiss for not passing on what he made clear he believed were non-existent secrets.

“I spoke to him (Lavrov) today,” said Putin with a smile. “I’ll be forced to issue him with a reprimand because he did not share these secrets with us. Not with me, nor with representatives of Russia’s intelligence services. It was very bad of him.”

Putin, who said Moscow rated Lavrov’s meeting with Trump “highly,” said Russia was ready to hand a transcript of Trump’s meeting with Lavrov over to U.S. lawmakers if that would help reassure them.

A Kremlin aide, Yuri Ushakov, later told reporters that Moscow had in its possession a written record of the conversation, not an audio recording.

Complaining about what he said were signs of “political schizophrenia” in the United States, Putin said Trump was not being allowed to do his job properly.

“It’s hard to imagine what else can these people who generate such nonsense and rubbish can dream up next,” said Putin.

“What surprises me is that they are shaking up the domestic political situation using anti-Russian slogans. Either they don’t understand the damage they’re doing to their own country, in which case they are simply stupid, or they understand everything, in which case they are dangerous and corrupt.”

Two U.S. officials said on Monday that Trump had disclosed highly classified information to Lavrov about a planned Islamic State operation, plunging the White House into another controversy just months into Trump’s short tenure in office.

Russia has repeatedly said that anti-Russian politicians in the United States are using groundless fears of closer ties with Moscow to sabotage any rapprochement and damage Trump in the process.

(Reporting by Denis Pinchuk/Jack Stubbs/Maria Tsvetkova; Writing by Andrew Osborn; Editing by Christian Lowe)