Eu miffed at U.S. Ukraine position.

 TRUMP IS EXITING UKRIANE CONFLICT

NATO NO LONGER HAS A PLAN

It seems clear that the results of the 5 hour meeting in Moscow between Putin and Trump's negotiators has infuriated NATO. We can only assume that NATO now understands that Trump is distancing the U.S. from this conflict. It is understandable that having committed to the U.S. Ukraine project they are now in the position of dealing with the consequences. While many will blame Trump, the reality is that this conflict is now going poorly for all involved. Ukrainians are dying in massive numbers, the economies of western Europe can only decline without access to Russian energy and the U.S. is attempting to deal with a massive debt with its possible severe economic crisis. Russia is of course also suffering, but this is an existential threat to their survival and will not compromise on their objectives.

They have the choice of sucking it up, putting their hubris under a blanket and moving on or go to war with Russia. It is an easy choice, if you face the choices objectively and rationally. There are lots of players who still refuse to move on.

The U.S. is beginning to realize that the era of Pax Americana is coming to a close. We have squandered our sound dollar, our manufacturing base and are now left with a massive debt and deficits as far as the eye can see. Cutting spending like the proposals of Musk and DOGE will result in reduced economic activity, as much of the new economy is dependent on Government spending. Raising taxes while seemingly easy will also result in reduced activity and possibly a flight of capital out of the country. There is no EASY solution and the sooner that the U.S. realizes it cannot get past this with threats, intimidation and war, the sooner the country can adjust to the new reality of a changed world.

The whole focus of the Federal Reserve and the federal government will soon be to figure out how to service the debt and interest payments and avoid some sort of default or massive inflation. 

The U.S. cannot bring manufacturing back quickly, nor remedy decades of irresponsible financial policy.  It is going to be painful and extended and we will need the good will of our allies and competitors, whose best interest is to have the U.S. make a successful transition. We could probably get more cooperation from our adversaries than we will get from domestic political opportunists.