Aug. 4, 2009

Bill Clinton in Pyongyang:

Former U.S. President Bill Clinton traveled to North Korea to discuss release of two American journalists being held by Pyongyang.

Laura Ling and Euna Lee, who work for former Vice President Al Gore's Current TV station, were arrested March 17 near the North Korean border with China. They were said to be working on a segment about trafficking of women when captured. It was unclear on which side of the border they were taken into custody.

They were subsequently found guilty of illegal entry into North Korea and of hostile acts against the North Korean government and sentenced to 12 years of hard labor.

Clinton arrived in Pyongyang and was met by a pair of North Korean officials, including Kim Kye Gwan, who has been involved in negotiations regarding Pyongyang's nuclear weapons programs. His presence led to speculation Clinton's mission may include an attempt to restart stalled nuclear talks.

The U.S. State Department has kept mostly quiet about Clinton's trip.

Geithner vs. regulators:

U.S. Treasury Secretary Timothy Geithner reportedly is upset about the pace at which federal regulators are working toward reform of the U.S. financial system.

The Wall Street Journal reported Tuesday Geithner used several obscenities in expressing concern that regulators had been given an opportunity to state positions but "enough is enough."

The Journal said those at last Friday's meeting included, among others, Federal Reserve Chairman Ben Bernanke, Securities and Exchange Commission Chairman Mary Schapiro and Federal Deposit Insurance Corp. Chairman Sheila Bair. It said its report was based on discussions with people familiar with the meeting but didn't name them.

Geithner was pushing an Obama administration plan announced in June to address regulation of the U.S. financial system. Among of the goals of the plan are to allow the government to take over large financial companies and increase oversight of mortgages.

The Journal said Geithner's stance was marked not only by the expletives but by the position he took in standing up to the heads of agencies that are independent of the White House.

Some of the regulators have voiced concern about giving the Federal Reserve more oversight of the financial system. Geithner reportedly said this was little more than turf protection.

The Journal said representatives for regulatory agencies at the meeting declined to comment.

Fatah meets:

The Palestinian political party Fatah opened its first conference in 20 years, bringing together more than 2,000 delegates to Bethlehem in the West Bank.

The agenda calls for votes on a Central Committee and its Revolutionary Council along with a new platform.

Palestinian President Mahmoud Abbas, a member of Fatah, said the group would endorse a two-state solution to the Israeli-Palestinian issue but an "armed struggle" option would be kept.

However, it was seen as unlikely that Fatah would change its charter, which calls for the abolition of the Israeli state.

While Israel granted clearances for the meetings to take place, absent from the sessions are about 300 delegates, who were denied exit from Gaza by Hamas, a rival Palestinian political organization seen as more militant than Fatah and which won electoral control of that area three years ago.

Partisan debate:

The U.S. Senate continues its debate on whether to fund the "Cash for Clunkers" program and on the nomination of Sonia Sotomayor to the U.S. Supreme Court.

There is a solid Democratic bloc in favor of both issues while Republicans are nearly as unified against them.

A vote on the Sotomayor nomination is scheduled for this week, before the Senate joins the House of Representatives on summer recess, and she's expected to join the court.

Republicans have stated opposition to Sotomayor, claiming she's a judicial activist. Democrats have been even most solidly in support of the nomination.

The "Cash for Clunkers" program has been successful enough that it quickly went through $1 billion set aside for the purpose. Consumers can receive as much as $4,500 to trade in older vehicles for new more fuel-efficient cars and light trucks. The incentive is credited for a spike in new car sales in July.

Republican opposition says the program is poorly run, confusing and easily abused. Along that line no one seems sure what the status of many of the payments from the government to dealers is. Some dealers are making provisional agreements until that is clarified. Supporters say that people are heading to car dealerships shows the program should be continued.

The House approved an additional $2 billion for the program. It is very possible the Senate will leave without voting on the measure. The White House has said the program could close this week unless the Senate pumps additional funds into it.