Originally published at: https://peakprosperity.com/daily-digest/doge-uncovers-social-security-fraud-dc-home-listings-surge-ukraine-sidelined/
Economy
The Washington, DC area is experiencing economic changes as active home listings increase and jobless claims rise. This situation is reportedly linked to federal job cuts under President Trump and the Department of Government Efficiency (DOGE), led by Elon Musk. Bright MLS reports a notable increase in housing listings, with Falls Church City, Virginia, seeing a 78.6% rise. Concurrently, 4,000 workers in DC have filed for unemployment insurance, indicating potential economic instability. However, the U.S. Department of Labor notes that the spike in jobless claims is part of a broader trend affecting multiple sectors, suggesting that the economic downturn might not be solely attributable to federal job cuts.
The U.S. Treasury is considering using its gold revaluation account, potentially accessing up to $700 billion. This move could increase the money supply and highlight gold’s strength compared to the dollar, though it carries the risk of undercollateralization if gold prices fall. Economists have expressed concerns that while this might provide short-term financial relief, it could lead to long-term economic instability by potentially weakening the dollar and increasing inflation.
US Politics
Elon Musk, leading the Department of Government Efficiency, has reportedly uncovered potential Social Security fraud involving foreign nationals using fake numbers to claim benefits. Musk’s data suggests a discrepancy, with 20.789 million Americans over 100 receiving benefits, raising questions about the integrity of the system. The Social Security Administration clarified that their records include historical data, and not all entries with the “death field set to FALSE” are necessarily alive or receiving benefits, emphasizing their systems are designed to prevent and detect fraud.
Additionally, a DOGE subcommittee has reported $2.7 trillion in improper Medicare and Medicaid payments since 2003, highlighting inefficiencies in federal spending. The Department of Health and Human Services acknowledged the issue, noting that the majority of improper payments are due to administrative complexities rather than fraud.
Canadian smugglers are reportedly exploiting the largely undefended northern border to facilitate illegal crossings into the U.S., primarily involving Indian nationals. Using TikTok, these smugglers charge up to $5,000 for the journey, with posts advertising the ease of crossing. Despite a decrease in northern border crossings since Trump’s presidency, smuggler accounts remain active, complicating trade and security talks between Canada and the U.S. The unguarded nature of the border presents a challenge for both nations. In response, the U.S. Border Patrol has increased its presence along the northern border, deploying additional agents and using drones for surveillance.
Geopolitics
The U.S. has delivered a shipment of 2,000-lb bombs to Israel, previously delayed by the Biden administration. This shipment underscores the alliance between the U.S. and Israel, with Defense Minister Israel Katz expressing gratitude for the support. However, human rights groups have raised concerns that the use of such heavy munitions in densely populated areas could lead to significant civilian casualties.
Meanwhile, U.S.-Russia talks have reportedly sidelined Ukraine and Europe, with President Trump and President Putin taking center stage. The European Union has expressed concern over being excluded from these talks, worried about the implications for European security.
Relatedly, a reported Ukrainian drone strike on a U.S.-owned pipeline briefly increased Brent oil prices. The Kropotkinskaya pumping station, which carries mostly U.S.-drilled Kazakh oil, was damaged, affecting operations. The Caspian Pipeline Consortium, which operates the pipeline, confirmed the damage and is working to restore operations, noting the pipeline’s importance for global oil supply. This incident may signal a message from Ukraine to the U.S., reflecting ongoing tensions in the region.
European Politics
Europe faces a defense funding challenge following the U.S. withdrawal from funding arrangements. With defense spending needing to increase from 2% to 5% of GDP, European leaders are exploring joint financing options, including eurobonds, to share the financial burden. The estimated cost of upgrading defense and supporting Ukraine could reach $3.1 trillion over the next decade. Discussions are ongoing, with French President Emmanuel Macron hosting meetings to address these issues. The financial implications of increased defense spending are significant, with potential impacts on debt issuance and quantitative easing.
Sources
Washington Recession: DC Housing Listings Surge, Jobless Claims Rise Amid Federal Job Cuts
Washington, DC recession begins.
Source | Submitted by bcoop
U.S. Treasury Eyes $700 Billion Windfall from Gold Revaluation: A Golden Opportunity or Dollar Dilemma?
The U.S. Treasury can draw up to $700 billion in new funding from its gold revaluation account at the Federal Reserve.
Source | Submitted by carolynnedwards
TikTok Coyotes: Canadian Smugglers Exploit Undefended Northern Border for Migrant Crossings
Northern border crossings by Indian nationals have dropped from 4,500 per month before Trump’s presidency to 2,900 since, per U.S. Customs data.
Source | Submitted by bcoop
Elon Musk Uncovers Alleged Social Security Fraud: Are Vampires Collecting Benefits?
This might be the biggest fraud in history.
Source | Submitted by Sandals
US Shipment of 2,000-lb Bombs Finally Arrives in Israel After Biden Administration Delay
The munitions shipment that arrived in Israel tonight, released by the Trump administration, represents a significant asset for the Air Force and the IDF and serves as further evidence of the strong alliance between Israel and the United States.
Source | Submitted by pnwdefector
Zelensky Excluded: U.S.-Russia Talks Sideline Ukraine and Europe
ZELENSKY SIDELINED—IT’S NOW TRUMP & PUTIN’S SHOW
Ukrainian Drone Strike on US-Owned Pipeline Briefly Spikes Brent Oil Prices
Ukrainian drones attack US-owned pipeline
$2.7 Trillion in Improper Medicare and Medicaid Payments Uncovered by DOGE Subcommittee
$2.7 trillion worth of improper Medicare and Medicaid payments.
Europe’s Defense Dilemma: Who Will Foot the $3 Trillion Bill?
“In the face of this emergency, I think it is time to take historic decisions,” French Minister for European Affairs Benjamin Haddad said in an interview with Bloomberg.
In addition to sources submitted by community members, the following were also used in the creation of this report: The Washington Post, U.S. Department of Labor, Bloomberg, U.S. Border Patrol, Social Security Administration, Department of Health and Human Services, The Intercept, EUobserver, Reuters, Caspian Pipeline Consortium, and Financial Times.