In The News:

Almost immediately following the outcome in Egypt and quite predictably, we see this:

Morsy: I Will Work To Expand Ties With Iran

Newly-elected Egyptian president says strengthening of relations with Tehran will "create a balance of pressure in the region"; comments come after Morsy promises to "preserve int'l obligations" in apparent reference to Israel.

Fars quoted him as saying he was interested in better relations with Tehran. "This will create a balance of pressure in the region, and this is part of my program."

Diplomatic relations between the two countries have been severed for more than 30 years, but both sides have signalled a shift in policy since former president Hosni Mubarak was overthrown last year in a popular uprising.

US President Barack Obama called Morsy on Sunday to congratulate him on his victory.

Israel On The Doorstep Of A New Islamic Republic

It's official: the Muslim Brotherhood has taken control of Egypt, or will do so in the very near future.

To the consternation of many throughout the region, Egypt's election commission on Sunday announced that Muslim Brotherhood candidate Mohammed Morsi would be the next president of the largest and most powerful Arab state.

Egypt's evolution from secular, Western-aligned dictatorship to an Islamist-controlled regime advocating Sharia Law so closely mirrors what happened to Iran in the late 1970s that Israel is understandably concerned.

Despite claims to the contrary for the sake of Western consumption (the Western media has inexplicably, but predictably swallowed those lies), Morsi said Sharia will be a central component of his presidency.

During the run-off presidential election, Shafiq strongly cautioned that were it to gain power, the Muslim Brotherhood would provoke armed conflict with Israel by making "Palestine" the core issue for all Egyptians.

Shortly after, Morsi appeared at an election rally where a Muslim cleric with ties to the Brotherhood declared that a Morsi presidency would result in the return of Jerusalem to Islamic sovereignty.

The Obama Administration seems to not share Israel's deep concerns over the Muslim Brotherhood rise to power, and that has more than a few Israelis scratching their heads in wonderment. In fact, Obama is leading the international call for Egypt's army to step aside and let the newly elected Islamists assume full control.

Putin Arrives In Israel To Discuss Iran, Syria

With the Muslim Brotherhood now in charge in Egypt and Syria in flames, Russian President Vladimir Putin makes his first visit to the volatile region on Monday since becoming president again in May, with a quick two-day journey to Israel and Jordan.

While Putin is scheduled to hold a lengthy meeting with PrimeMinister Binyamin Netanyahu in the afternoon – a one-on-one discussion followed by a larger meeting with staff and other ministers – the bulk of the visit will be symbolic: thededication of a monument to the Red Army for its victory over Nazi Germany, a state dinner with President Shimon Peres and a visit to Bethlehem.

The focus of the Netanyahu- Putin talks is expected to be on Iran and Syria, where the two countries have wide differences of opinion.

Putin was accompanied by some 400 people, flying in on four different planes. The massive entourage includes Putin’s staff, a large number of businesspeople and around 60 journalists.

Russia To Send Marines To Syria

Two Russian navy ships are completing preparations to sail to Syria with a unit of marines on a mission to protect Russian citizens and the nation's base there, a news report said Monday. The deployment appears to reflect Moscow's growing concern about Syrian President Bashar Assad's future.

The Interfax news agency quoted an unidentified Russian navy official as saying that the two amphibious landing vessels, Nikolai Filchenkov and Caesar Kunikov, will be heading shortly to the Syrian port of Tartus, but didn't give a precise date.

The official said the ships will carry an unspecified number of marines to protect Russians in Syria and evacuate some equipment from Tartus, if necessary.

Each ship is capable of carrying up to 300 marines and a dozen tanks, according to Russian media reports. That would make it the largest known Russian troop deployment to Syria, signaling that Moscow is becoming increasingly uneasy about Syria's slide toward civil war.

Moscow also has continued to provide Syria with arms, despite Western calls for a halt in supplies

Europe To Launch Massive Two Trillion Euro Bailout Package

With tremendous volatility in global markets, today King World News interviewed one of the savviest guys in the business, Jeffrey Saut, Chief Investment Strategist for Raymond James. Saut surprised KWN by saying that Europe is about to launch “a two trillion euro bailout package.” He also stated that this “puts our Federal Reserve into a box whereby they will have to provide some kind of liquidity event in order to keep the US dollar from spiking higher.” Saut also discussed gold, but first, here is what he had to say about the crisis in Europe: “Having worked inside the Washington DC beltway, I have a pretty good working knowledge of politicians, bureaucrats and bankers. They are the same in Europe as they are in this country. They do not want to lose their power, and if the EU busts apart, they all lose their power.

EU President To Unveil Banking Union Plan

A banking union would be the first step in a long-term roadmap to political union that he will outline to EU leaders, with dates and institutional problems such as treaty change set out by year's end.

"Banking union is a fundamental element," he told German paper Welt am Sonntag, in an interview published on Sunday. "I think we can move forward there more quickly than in other areas."

The success of his plan depends on whether EU leaders can overcome opposition to increasing the role of the European Central Bank.

"Each country wants to help but if I am going to call on taxpayers in Germany, I must have guarantees that all is under control. Responsibility and control go hand in hand," she said after a crucial summit of the eurozone's Big Four powers in Rome.

Soros Pushes EU To Start Joint Debt Fund Or Risk Summit Fiasco

Billionaire investor George Soros called on Europe to start a fund to buy Italian and Spanish bonds, warning that a failure by leaders meeting this week to produce drastic measures could spell the demise of the currency.

Policy makers should create a European Fiscal Authority to purchase sovereign debt in return for Italy and Spain implementing achievable budget cuts, Soros said in an interview in Londonyesterday. Funding for the purchases would come from the sale of European Treasuries, which would have low yields because they would be backed by each euro member, he said.