Submitted by Charles Hugh-Smith of OfTwoMinds blog,

This week I am addressing themes I see playing out in 2016.

Suspected Islamic State militants waving the black flag of ISIS have stormed a hotel beach resort in the Egyptian city of Hurghada.  Three men waving black ISIS flags attacked the Bella Vista Hotel by the Red Sea with guns and knives. According to reports they opened fire at the entrance to the hotel. At least three tourists were stabbed by the attackers, who arrived at the resort by boat. The Express reports: .The assailants travelled by sea to carry out the shocking attack in the upmarket Bella Vista hotel which is popular with European tourists.

Earlier today, CNBC invited Kyle Bass, the man who correctly predicted and profited from the subprime collapse, to discuss what he thought was the biggest threat to the global financial system.

http://player.cnbc.com/p/gZWlPC/cnbc_global

Here is the highlight of what he said:

Using hacking methods never seen before in the history of law enforcement, the FBI have hacked the dark web, infiltrating the largest remaining known child pornography service in the world. A new report has revealed that the FBI secretly took control of a child porn website early last year and began infecting visitors with malware to identify around 1,300 individuals who had allegedly logged-on using software designed to browse the Internet anonymously.

Submitted by Lance Roberts via RealInvestmentAdvice.com,

This week has certainly been interesting with the Dow Jones Industrial Average having the worst start to a year…well…ever. Even more interesting is the culprit was primarily the collapse of financial markets in China.

Why is that interesting? Because it is exactly the issue that I wrote about during the summer of 2015: