The Jim Bakker Show

U.S. retail sales rebound on autos, building materials

FILE PHOTO: A woman walks with shopping bags at Bryant Park in New York, U.S. December 2, 2016. REUTERS/Shannon Stapleton

By Lucia Mutikani

WASHINGTON (Reuters) – U.S. retail sales rebounded sharply in October as purchases of motor vehicles and building materials surged, likely driven by recovery efforts in areas devastated by Hurricane Florence.

The report on Thursday from the Commerce Department also showed broad gains in sales ahead of the holiday shopping season, which bodes well for consumer spending and the overall economy as the fourth quarter gets underway.

Sales could also get a boost from declining oil prices, which are expected to lead to cheaper gasoline.

“The consumer has the wind at their backs and with gasoline prices falling at the pump, we expect even more spending in the next couple of months,” said Chris Rupkey, chief economist at MUFG in New York.

Retail sales increased 0.8 percent last month. But data for September was revised down to show sales slipping 0.1 percent instead of rising 0.1 percent. August sales were also weaker than previously thought.

Economists polled by Reuters had forecast retail sales increasing 0.5 percent in October. Sales rose 4.6 percent from a year ago.

Excluding automobiles, gasoline, building materials and food services, retail sales increased 0.3 percent last month. These so-called core retail sales correspond most closely with the consumer spending component of gross domestic product.

Data for September was revised lower to show core retail sales rising 0.3 percent instead of gaining 0.5 percent as previously reported. August core retail sales were also revised down to show them falling 0.2 percent instead of being unchanged.

While that suggests some loss of momentum in consumer spending, which accounts for more than two-thirds of U.S. economic activity, consumption remains underpinned by a strong labor market, characterized by a 3.7 percent unemployment rate.

The lowest unemployment rate in nearly 49 years is boosting wages, with annual wage growth recording its biggest increase in 9-1/2 years in October. Jobs market strength was underscored by a separate report from the Labor Department on Thursday showing a marginal increase in the number of Americans filing for unemployment benefits last week.

“Solid job growth and wage increases are the main sources of support for consumer spending and so far, so good,” said Jennifer Lee, a senior economist at BMO Capital Markets in Toronto.

Strong domestic demand and a tightening labor market support views that the Federal Reserve will increase interest rates in December for the fourth time this year. The U.S. central bank last Thursday kept rates unchanged, but noted that data “indicates that the labor market has continued to strengthen and that economic activity has been rising at a strong rate.”

The dollar was trading higher against a basket of currencies after Thursday’s data, while U.S. Treasury yields fell.

BROAD GAINS

The trend in retail sales, if sustained, could keep the economy on a solid growth path even as business investment is slowing, the trade deficit is expected to deteriorate further and the housing market continues to weaken.

The government reported last month that consumer spending expanded at its fastest pace in nearly four years in the third quarter. Given the downward revisions to core retail sales in August and September, the third-quarter consumer spending estimate is likely to be lowered when the government publishes its second estimate of gross domestic product later this month.

While the Commerce Department said it could not isolate the impact of Hurricane Florence, which lashed North and South Carolina in mid-September, on the retail sales, the storm probably boosted purchases of automobiles and building materials last month.

Auto sales jumped 1.1 percent last month likely as residents in areas affected by Florence replaced damaged cars. Auto sales fell 0.1 percent in September. Sales at building material stores surged 1.0 percent in October.

There were also increases in sales at clothing stores, online retailers and service stations last month. Americans also spent more on hobbies and at bookstores, while cutting back on furniture purchases.

But spending at restaurants and bars slipped 0.2 percent, likely hurt by Hurricane Michael, which soaked the Florida Panhandle in mid-October. Sales at restaurants and bars dropped 1.5 percent in September.

Other data on Thursday offered a mixed picture of the manufacturing sector in early November. The New York Fed said its Empire State general business conditions index rose to a reading of 23.3 this month from 21.1 in October.

A slight moderation in the new orders index was offset by strong increases in labor market measures.

Separately, a survey from the Philadelphia Fed showed a slowing in factory activity in the mid-Atlantic region this month, with its current general activity index tumbling to a reading of 12.9 from 22.2 in October amid a sharp slowdown in new orders.

Firms, however, remained upbeat about business conditions over the next six months. There was also a strong improvement in capital expenditure plans.

(Reporting by Lucia Mutikani; Editing by Andrea Ricci)

Trump to meet North Korea’s Kim in 2019, wants plan to end arms program: Pence

U.S. Vice President Mike Pence speaks during a news conference in Singapore, November 15, 2018. REUTERS/Athit Perawongmetha

By John Geddie

SINGAPORE (Reuters) – U.S. Vice President Mike Pence said on Thursday President Donald Trump plans to meet North Korean leader Kim Jong Un in 2019 and will push for a concrete plan outlining Pyongyang’s moves to end its arms programs.

The United States and North Korea have been discussing a second meeting of their leaders after a June summit in Singapore to lay the groundwork for ending a nuclear standoff between the old foes.

“The plans are ongoing. We believe that the summit will likely occur after the first of the year, but the when and the where of that is still being worked out,” Pence told reporters after meeting South Korean President Moon Jae-in.

In a separate interview with NBC News, Pence said the United States would not require Pyongyang to provide a complete list of nuclear weapons and locations before the second summit but that the meeting must produce a concrete plan.

“I think it will be absolutely imperative in this next summit that we come away with a plan for identifying all of the weapons in question, identifying all the development sites, allowing for inspections of the sites and the plan for dismantling nuclear weapons,” Pence said.

Pence and Moon were meeting on the sidelines of an Asia-Pacific summit hosted by Singapore.

A U.S. think tank said on Monday it had identified at least 13 of an estimated 20 active, undeclared missile bases inside North Korea, underscoring the challenge for American negotiators hoping to persuade Kim to give up his weapons programs.

North Korea had entered into agreements with regional powers in 1994 and in 2005 to dismantle its nuclear program in return for economic benefits and diplomatic rewards, but those deals broke down after Pyongyang clandestinely continued to pursue building weapons of mass destruction.

With scant sign of progress on negotiations since the June summit and recent high-level meetings canceled, Trump said last week he was now in “no rush” but still wanted to meet with Kim for a second time.

“We’re going to keep the pressure on. We’re going to keep the sanctions in place,” Pence told NBC. “President Trump continues to be very hopeful that in that next summit, we’ll come out with a plan for actually implementing and achieving denuclearization.”

FILE PHOTO: U.S. President Donald Trump shakes hands with North Korea’s leader Kim Jong Un after they signed documents that acknowledged the progress of the talks and pledge to keep momentum going, after their summit at the Capella Hotel on Sentosa island in Singapore June 12, 2018. REUTERS/Jonathan Ernst/File Photo

U.S. officials have said sanctions forced North Korea to the negotiating table and vowed to keep pressure until complete denuclearization. But North Korea has credited its nuclear and missile breakthroughs for providing it the standing to meet the world’s biggest powers.

Pence told reporters that Moon agreed to work closely with the United States toward the second U.S.-North Korea summit, as Washington maintains the “maximum pressure” campaign by keeping the sanctions against Pyongyang in place.

Asked if China, which has been the North’s main economic benefactor, was doing enough to maintain sanctions pressure, Pence said Beijing has done more than they have ever done before and Trump was grateful for that.

A U.S. congressional commission said on Wednesday China appeared to have relaxed enforcement of sanctions on North Korea as Pyongyang began to engage with the United States this year.

Trump is expected to speak more about enforcing sanctions when he meets Chinese President Xi Jinping at the G20 summit late this month and the unique role that China can play in ensuring the denuclearisation of the Korean peninsula, Pence said.

North Korea has not tested a nuclear device or ballistic missile since last year, and has said it has shuttered its main nuclear test site, with plans to dismantle several more facilities.

But it has warned it could restart its nuclear program if the United States does not drop the sanctions regime.

(Reporting by John Geddie in Singapore; Additional reporting by Susan Heavey in Washington; Writing by Jack Kim; Editing by Paul Tait, Raju Gopalakrishnan and Bernadette Baum)

Saudi Arabia seeks death penalty in Khashoggi murder case

FILE PHOTO: A demonstrator wearing a mask of Saudi Crown Prince Mohammed bin Salman attends a protest outside the Saudi Arabia consulate in Istanbul, Turkey October 25, 2018. REUTERS/Osman Orsal//File Photo

By Stephen Kalin

RIYADH (Reuters) – Saudi Arabia’s public prosecutor is seeking the death penalty for five out of 11 suspects charged in the murder of journalist Jamal Khashoggi, his office said on Thursday, as the kingdom tries to overcome its biggest political crisis in a generation.

Khashoggi, a royal insider turned critic of Saudi policy, was killed in the country’s Istanbul consulate on Oct. 2, after a struggle, by a lethal injection dose, deputy public prosecutor and spokesman Shalaan al-Shalaan told reporters.

His body was dismembered, removed from the building and handed over to a “local cooperator”, whose identity has not been confirmed, he added. The whereabouts of Khashoggi’s remains are unknown.

Shalaan said the Washington Post columnist was murdered after “negotiations” for his return to the kingdom failed and that the killing was ordered by the head of a negotiating team sent to repatriate Khashoggi after he decided it was unfeasible to remove him from the consulate.

Shalaan said the order to repatriate Khashoggi had come from former deputy intelligence chief General Ahmed al-Asiri, who was sacked last month following an initial investigation.

Asked if Saudi Crown Prince Mohammed bin Salman played a role in the murder, he said: “He did not have any knowledge.”

Turkish President Tayyip Erdogan has said the order for the operation came from the highest level of Saudi leadership but probably not King Salman, putting the spotlight instead on his 33-year-old heir Prince Mohammed.

U.S. President Donald Trump has suggested ultimate responsibility lies with the prince as de facto ruler.

Riyadh initially denied any knowledge of Khashoggi’s disappearance, then offered contradictory explanations including that he was killed in a rogue operation. The case has sparked a global outcry, opened the kingdom to possible sanctions and tarnished the image of Prince Mohammed.

Some details provided on Thursday again contradicted previous versions, none of which mentioned a drug-induced death and one of which called the killing premeditated based on information provided by Turkish authorities.

FILE PHOTO: A demonstrator holds a poster with a picture of Saudi journalist Jamal Khashoggi outside the Saudi Arabia consulate in Istanbul, Turkey October 25, 2018. REUTERS/Osman Orsal/File Photo

DEATH PENALTY

Turkish Foreign Minister Mevlut Cavusoglu said that the measures announced by the Saudi public prosecutor’s office were “positive but insufficient”, and repeated Ankara’s demand that the 15-man team be tried in Turkey.

“The Public Prosecutor has requested the death penalty for five individuals who are charged with ordering and committing the crime and for the appropriate sentences for the other indicted individuals,” Shalaan said, without naming them.

He said 11 out of 21 suspects have been indicted and will be referred to court, while investigations with the remaining suspects will continue to determine their role in the crime.

A travel ban has been imposed on a former top aide to the crown prince, Saud al-Qahtani, while investigations continue over his role, Shalaan said.

He said Qahtani had coordinated with Asiri, meeting the operatives ahead of their journey to Istanbul to brief them on the journalist’s activities.

Qahtani has already been fired from the royal court, but four sources based in the Gulf told Reuters this week that he was still at liberty and continued to operate discreetly.

A senior government official previously identified the head of the negotiating team as Maher Mutreb, an aide to Qahtani who has appeared in photographs with Prince Mohammed on official visits this year to the United States and Europe.

Six weeks after the murder, Turkey is trying to keep up pressure on Prince Mohammed and has released a stream of evidence that undermined Riyadh’s early denials of involvement.

Turkey says it has recordings related to the killing which it has shared with Western allies. Erdogan said the recordings are “appalling” and shocked a Saudi intelligence officer who listened to them, Turkish media has reported.

Last month two intelligence sources said that Qahtani gave orders over Skype to Khashoggi’s killers. More recently, a government source familiar with the matter said Qahtani featured prominently throughout the recordings.

Shalaan declined to confirm or deny whether Saudi authorities heard the recordings. He said Riyadh asked Ankara to share witness testimonies and hand over Khashoggi’s phones.

(Additional reporting by Maha El Dahan and Asma Al Sharif in Dubai; Writing by Tuqa Khalid and Ghaida Ghantous; Editing by Gareth Jones, William Maclean)

U.S. Postal Service loss triples, even as package deliveries rise

FILE PHOTO: A view shows U.S. postal service mail boxes at a post office in Encinitas, California February 6, 2013. REUTERS/Mike Blake/File Photo

WASHINGTON (Reuters) – The U.S. Postal Service lost almost $4 billion in 2018 even as package deliveries rose, according to results released on Wednesday, giving U.S. President Donald Trump potential ammunition against Amazon.com Inc, which he claims pays too little for the agency’s services.

Trump, without presenting evidence, has attacked Amazon repeatedly over the past year, accusing the world’s largest online retailer of taking advantage of USPS by not paying enough for deliveries to make the service profitable.

USPS, an independent agency within the federal government, reported operating revenue of $70.6 billion for fiscal year 2018, which ended on Sept. 30, as sales at its shipping and packages business rose 10 percent.

However, its net loss more than tripled to $3.9 billion from a loss of $1.2 billion in 2017, hurt by rising pay and benefits and higher transport costs, such as gas prices.

Package delivery, especially for major customer Amazon, has become a key part of USPS’s business but has not been enough to offset the sharp decline in first-class letters caused by the internet and email.

The president does not have the power to determine postal rates. They are set by the Postal Regulatory Commission, an independent government agency with commissioners from both political parties who are selected by the president. That panel raised prices on packages by almost 2 percent in November.

Amazon is run by founder Jeff Bezos, who also owns the Washington Post, a newspaper Trump has repeatedly railed against. It has shown interest in delivering its own packages and has tested drones for doing so.

In 2015, Amazon spent $11.5 billion on shipping, 46 percent of its total operating expenses that year. It has not commented publicly on Trump’s criticisms.

(Reporting by Chris Sanders and Diane Bartz; Editing by Bill Rigby)

U.S. lays barbed wire at border as migrant caravan draws closer

U.S. Marines work to move building materials as they harden the border with Mexico in preparation for the arrival of a caravan of migrants at the San Ysidro border crossing in San Diego, California, U.S., November 13, 2018. REUTERS/Mike Blake

By Lizbeth Diaz

TIJUANA (Reuters) – Hundreds of Central American migrants planning to seek asylum in the United States moved toward the country’s border with Mexico on Tuesday as U.S. military reinforced security measures, laying barbed wire and erecting barricades.

Some 400 migrants who broke away from the main caravan in Mexico City arrived in the border city of Tijuana on Tuesday by bus, according to a Reuters witness. Larger groups are expected to arrive in the coming days, human rights organizations said.

U.S. Defense Secretary Jim Mattis said he would travel to the border area on Wednesday, his first visit since the military announced that over 7,000 U.S. troops would go to the area as the caravan of mostly Hondurans has made its way through Mexico.

The U.S. Customs and Border Protection (CBP) said in a statement that it would close lanes at the San Ysidro and Otay Mesa crossings from Tijuana to allow the Department of Defense to install barbed wire and position barricades and fencing. Tijuana, in the Mexican state of Baja California, is at the westerly end of the border, around 17 miles (38km) from San Diego, California.

“CBP has been and will continue to prepare for the potential arrival of thousands of people migrating in a caravan heading toward the border of the United States,” Pete Flores, the agency’s director of field operations in San Diego, said in a statement, citing a “potential safety and security risk.”

The administration of U.S. President Donald Trump has taken a firm stance against the caravan, which began its journey north on Oct. 13 and briefly clashed with security forces in the south of Mexico early on its route.

On Friday, Trump signed a decree that effectively suspended the granting of asylum for those who cross the border illegally, a move that could drastically slow claims at gates of entry.

But migrants planning to seek asylum in the United States said they were undeterred by the crackdown.

“I prefer to be in detention in the United States than to return to my country, where I know they are going to kill me for being different,” said Nelvin Mejía, a transgender woman who arrived in Tijuana on Monday with a group of about 70 people seeking asylum. “Last month, they killed my partner, and I do not want to end up like that.”

For years, thousands of mainly Central American immigrants have embarked on long journeys through Central America and Mexico to reach the United States. Many of them die in the attempt or are kidnapped by organized crime groups.

Several thousand more migrants in at least three caravan groups are making their way through Mexico toward the border.

(Reporting by Lizbeth Diaz; writing by Julia Love, Editing by Rosalba O’Brien)

U.S. bishops delay action on clergy abuse at Vatican’s request

Cardinal Daniel DiNardo (R), president of the U.S. Conference of Catholic Bishops, speaks with other attendees at the USCCB general assembly in Baltimore, Maryland, U.S., November 12, 2018. REUTERS/Kevin Lamarque

By Gabriella Borter

(Reuters) – The U.S. Conference of Catholic Bishops will delay action to deal with a crisis involving sexual abuse of minors by clergy until after a global meeting in February at the request of the Vatican, conference president Cardinal Daniel DiNardo said on Monday.

The Catholic Church worldwide is reeling from crises involving sexual abuse of minors, deeply damaging confidence in the Church in the United States, Chile, Australia, Ireland and elsewhere.

Cardinal Daniel DiNardo, president of the U.S. Conference of Catholic Bishops, speaks during a press conference at the USCCB general assembly in Baltimore, Maryland, U.S., November 12, 2018. REUTERS/Kevin Lamarque

Cardinal DiNardo of Galveston-Houston said the Congregation for Bishops in Rome had sent a letter asking U.S. bishops to wait until after the Vatican-convened global meeting on sex abuse takes place in February.

“We have accepted with disappointment this particular event that took place this morning,” Cardinal DiNardo of Galveston-Houston said at a media conference on Monday, the opening day of the conference. “We have not lessened in any of our resolve for actions.”

In the United States, 13 state attorneys general have launched statewide investigations into sexual abuse by clergy.

In August, an 884-page report made public by Pennsylvania Attorney General Josh Shapiro stated that Roman Catholic priests in the state sexually abused nearly 1,000 children over a 70-year period and silenced victims through “the weaponization of faith” and a systematic cover-up campaign by their bishops.

The conference of bishops had expected to focus this week on measures to combat abuse, including establishing a new code of conduct, according to a September statement.

“We humbly welcome and are grateful for the assistance of the whole people of God in holding us accountable,” the statement said.

Terry McKiernan, co-director of victims’ advocacy group BishopAccountability.org, said the Pope’s intervention in this week’s conference was a frustrating setback.

“This situation is so terrible that the only way that it’s really going to be solved is if bishops convincingly demonstrate their remorse and concern,” McKiernan told Reuters in a phone interview.

DiNardo called the delay “a bump in the road” on Monday but said it does not reflect U.S. bishops’ lack of determination to deal with the issue.

“We were all set to move to reach an action stage here this week,” DiNardo said. “I don’t look upon any of this as a change in direction for the Catholic bishops of the United States.”

(Reporting by Gabriella Borter; Editing by Susan Thomas)

North Korea keeps undeclared missile bases up and running: U.S. think tank

North Korean leader Kim Jong Un inspects a constructions site of Yangdeok, in this undated photo released on October 31, 2018 by North Korea's Korean Central News Agency (KCNA). KCNA/via REUTERS

By Josh Smith

SEOUL (Reuters) – A U.S. think tank said on Monday it had identified at least 13 of an estimated 20 undeclared missile operating bases inside North Korea, underscoring the challenge for American negotiators hoping to persuade Pyongyang to give up its nuclear weapons and long-range missiles.

In reports released by the Washington, D.C.-based Center for Strategic and International Studies, researcher Joseph Bermudez said maintenance and minor infrastructure improvements have been observed at some of the sites, despite the ongoing negotiations.

North Korean leader Kim Jong Un and U.S. President Donald Trump pledged to work toward denuclearization at their landmark June summit in Singapore, but the agreement was short on specifics and negotiations have made little headway.

Shortly after that summit, Trump tweeted that “there is no longer a Nuclear Threat from North Korea.”

North Korea declared its nuclear force “complete” and halted missile and nuclear bomb testing earlier this year, but U.S. and South Korean negotiators have yet to elicit from Pyongyang a concrete declaration of the size or scope of the weapons programs, or a promise to stop deploying its existing arsenal.

North Korea has said it has closed its Punggye-ri nuclear testing site and the Sohae missile engine test facility. It also raised the possibility of shuttering more sites and allowing international inspections if Washington took “corresponding measures,” of which there has so far been no sign.

Last week, North Korea called off a meeting with U.S. Secretary of State Mike Pompeo in New York, and state media said on Monday the resumption of some small-scale military drills by South Korea and the United States violated a recent agreement aimed at lowering tensions on the Korean peninsula.

The sites identified in the CSIS report are scattered in remote, mountainous areas across North Korea, and could be used to house ballistic missiles of various ranges, with the largest believed to be capable of striking anywhere in the United States.

“Missile operating bases are not launch facilities,” Bermudez wrote. “While missiles could be launched from within them in an emergency, Korean People’s Army (KPA) operational procedures call for missile launchers to disperse from the bases to pre-surveyed or semi-prepared launch sites for operations.”

None of the missile bases have been acknowledged by North Korea, and analysts say an accurate disclosure of nuclear weapons and missile capabilities would be an important part of any denuclearization deal.

Sakkanmol, the site closest to the border with South Korea and its capital Seoul, appears to be “active and being reasonably well-maintained,” the report found.

“North Korea’s decommissioning of the Sohae satellite launch facility, while gaining much media attention, obscures the military threat to U.S. forces and South Korea from this and other undeclared ballistic missile bases,” Bermudez said.

(Reporting by Josh Smith; editing by Darren Schuettler)

Facing new sanctions, Iranians vent anger at rich and powerful

FILE PHOTO: Iranian rials, U.S. dollars and Iraqi dinars are seen at a currency exchange shopÊin Basra, Iraq November 3, 2018. Picture taken November 3, 2018. REUTERS/Essam al-Sudani

By Babak Dehghanpisheh

GENEVA (Reuters) – More Iranians are using social media to vent anger at what they see as the corruption and extravagance of a privileged few, while the majority struggles to get by in an economy facing tighter U.S. sanctions.

The country has been hit by a wave of protests during the last year, some of them violent, but as economic pressures rise, people are increasingly pointing fingers at the rich and powerful, including clerics, diplomats, officials and their families.

One person channeling that resentment is Seyed Mahdi Sadrossadati, a relatively obscure cleric who has amassed 256,000 followers on his Instagram account with a series of scathing posts aimed at children of the elite.

In one recent post, he blasted the “luxury life” of a Revolutionary Guards commander and his son, who posted a selfie online in front of a tiger lying on the balcony of a mansion.

Openly criticizing a well-known member of the powerful military unit that answers to Supreme Leader Ayatollah Ali Khamenei is in itself an unusual act of defiance.

“A house tiger? What’s going on?” Sadrossadati wrote. “And this from a 25-year-old youth who could not gain such wealth. People are having serious difficulty getting diapers for their child.”

The Iranian rial currency has hit 149,000 to the U.S. dollar on the black market used for most transactions, down from around 43,000 at the start of 2018, as U.S. President Donald Trump vowed to pull out of the nuclear deal between Tehran and world powers aimed at curbing its nuclear program.

That has sent living costs sharply higher and made imports less accessible, while the threat of financial punishment from the United States has prompted many foreign companies to pull out of Iran or stay away.

The situation could get worse, as additional sanctions come into force this week.

“SULTAN OF COINS”

Wary of growing frustration over the relative wealth of a few among the population of 81 million, Khamenei has approved the establishment of special courts focused on financial crimes.

The courts have handed out at least seven death sentences since they were set up in August, and some of the trials have been broadcast live on television.

Among those sentenced to death was Vahid Mazloumin, dubbed the “sultan of coins” by local media, a trader accused of manipulating the currency market and who was allegedly caught with two tons of gold coins, according to the Iranian Students’ News Agency (ISNA).

The tough sentences have not been enough to quell frustration, however, with high profile officials and clerics in the firing line.

“Because the economic situation is deteriorating, people are looking for someone to blame and in this way get revenge from the leaders and officials of the country,” said Saeed Leylaz, a Tehran-based economist and political analyst.

Washington is likely to welcome signs of pressure on Iran’s political and religious establishment, as it hopes that by squeezing the economy it can force Tehran to curb its nuclear program and row back on military and political expansion in the Middle East.

Public anger among Iranians has been building for some time.

Demonstrations over economic hardships began late last year, spreading to more than 80 cities and towns and resulting in at least 25 deaths.

CLERICS

In addition to his written contributions, Sadrossadati has posted videos of debates between himself and some of those he has criticized.

In one, he confronted Mehdi Mazaheri, the son of a former central bank governor who was criticized online after a photograph appeared showing him wearing a large gold watch.

In a heated exchange, Sadrossadati shouted: “How did you get rich? How much money did you start out with and how much money do you have now? How many loans have you taken?”

Mazaheri, barely able to get in a reply, said he would be willing to share documents about his finances.

Children of more than a dozen other officials have been criticized online and are often referred to as “aghazadeh” – literally “noble-born” in Farsi but also a derogatory term used to describe their perceived extravagance.

High-profile clerics have also been targeted.

Mohammad Naghi Lotfi, who held the prestigious position of leading Friday prayers at a mosque in Ilam, west Iran, resigned in October after he was criticized on social media for being photographed stepping out of a luxury sports utility vehicle.

Facebook posts labeled Lotfi a hypocrite for highlighting ways that ordinary Iranians could get through the economic crisis during his speeches. The outcry was a major factor in his decision to resign from a post he had held for 18 years.

“The hype that was presented against me in this position … made me resign, lest in the creation of this hype the position of the Supreme Leader of the Islamic Revolution be damaged,” Lotfi told state media after stepping down.

“The issue of the vehicle … was all lies that they created in cyberspace,” he added.

He was one of at least four clerics in charge of Friday prayers who have resigned in the last year after being accused on social media of profligacy or financial impropriety.

(Editing by Mike Collett-White)

Canada says safety of Pakistani woman in blasphemy case a ‘priority’

OTTAWA (Reuters) – Canada urged Pakistan on Tuesday to ensure the well-being of a Pakistani Christian woman whose life is in danger after having been acquitted in the South Asian country last month of blasphemy charges against Islam, a ruling that sparked mass protests.

The case of Asia Bibi, who spent eight years on death row in Pakistan before being released, has outraged Christians worldwide. Bibi’s husband, Ashiq Masih, has appealed for help to Britain, Canada, Italy and the United States, and so far, Italy has said it would assist her.

“It’s a very important issue, a central priority for our government,” Canada’s foreign minister, Chrystia Freeland, said of Bibi’s case after meeting her European Union counterpart, Federica Mogherini, in Montreal.

Bibi was convicted of blasphemy in 2010 after neighbors said she made derogatory remarks about Islam when they objected to her drinking water from their glass because she was not Muslim. She is a Protestant and denies committing blasphemy.

“Canada calls on Pakistan to take all measures necessary to ensure the safety and security of Asia Bibi and her family,” Freeland said. “Canada is prepared to do everything we can” and is “extremely engaged in this issue,” Freeland said.

Islamists shut down roads in major cities in Pakistan during three days of demonstrations against Bibi’s acquittal. They have threatened to escalate the protests if she is permitted to leave the country. The government has indicated it will bar her from traveling abroad.

Bibi’s lawyer, Saiful Mulook, fled to the Netherlands earlier this week because of fears for the safety of his family.

(Reporting by Steve Scherer; Editing by Bernadette Baum)

Frost thaws in U.S.-China ties ahead of G20 meeting

FILE PHOTO: U.S. and Chinese flags are placed for a joint news conference by U.S. Secretary of State Mike Pompeo and Chinese Foreign Minister Wang Yi at the Great Hall of the People in Beijing, China June 14, 2018. REUTERS/Jason Lee/File Photo

By David Brunnstrom and John Geddie

WASHINGTON/SINGAPORE (Reuters) – The United States and China will hold a delayed top-level security dialogue on Friday, the latest sign of a thaw in relations, as China’s vice president said Beijing was willing to talk with Washington to resolve their bitter trade dispute.

The resumption of high-level dialogue, marked by a phone call last week between Presidents Donald Trump and Xi Jinping, comes ahead of an expected meeting between the two at the G20 summit in Argentina starting in late November.

It follows months of recriminations spanning trade, U.S. accusations of Chinese political interference, the disputed South China Sea and self-ruled Taiwan.

China and the United States have both described last week’s telephone call between Xi and Trump as positive. Trump predicted he’d be able to make a deal with China on trade.

In a concrete sign of the unfreezing, the U.S. State Department said Secretary of State Mike Pompeo, Defense Secretary Jim Mattis, Chinese politburo member Yang Jiechi and Defense Minister Wei Fenghe will take part in diplomatic and security talks later this week in Washington.

China said last month the two sides had initially agreed “in principle” to hold the second round of diplomatic security talks in October but they were postponed at Washington’s request amid rising tensions over trade, Taiwan and the South China Sea.

Mattis had been due to hold talks with Wei in Beijing in October, but those plans were upended after Washington imposed sanctions on China’s People’s Liberation Army for buying weapons from Russia.

Mattis did meet Wei in Singapore on Oct. 18 and told him that the world’s two largest economies needed to deepen high-level ties to reduce the risk of conflict.

Speaking in Singapore on Tuesday, Chinese Vice President Wang Qishan, who is close to Xi, reiterated China’s readiness to hold discussions and work with the United States to resolve trade disputes as the world’s two largest economies stand to lose from confrontation.

“Both China and the U.S. would love to see greater trade and economic cooperation,” Wang told the Bloomberg New Economy Forum in Singapore.

“The Chinese side is ready to have discussions with the U.S. on issues of mutual concern and work for a solution on trade acceptable to both sides,” he said.

“The world today faces many major problems that require close co-operation between China and the United States,” Wang said.

Wang echoed comments made by Xi on Monday at a major import fair in Shanghai that Beijing will embrace greater openness.

Trump has railed against China over intellectual property theft, entry barriers to U.S. business and a gaping trade deficit, which U.S. data showed reached a record $40.2 billion in September.

The trade war, which has seen both sides impose tariffs on billions of dollars worth of the other’s imports, is beginning to hurt China’s economy and has battered Chinese shares and the yuan currency.

It has also brought purchases of U.S. soybeans by China to a virtual standstill. Soybeans are the largest U.S. agricultural export to China.

Jim Sutter, CEO of the U.S. Soybean Export Council, told Reuters on the sidelines of the Shanghai import fair that both countries understood the need to maintain their relationship.

“I think both sides are optimistic … more optimistic after the call last week that took place, that some kind of a solution can be reached,” he said.

(Reporting by David Brunnstrom and John Geddie; Additional reporting by Tom Daly and Michael Martina in Shanghai; Writing by Ben Blanchard; Editing by Tony Munroe and Neil Fullick)

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