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I live in Washington, D.C.'s Capitol Hill neighborhood. I can more or less roll out of bed into the House of Representatives or the Senate; the majestic Library of Congress doubles as my local branch. (If you visit, spend a sunset on the steps of the library's Jefferson Building. Trust me.) You can't miss my place, three stories of brick painted Big Bird yellow. It's a charming little corner of the city. Each fall, the trees outside my window shake their leaves and carpet the street in gold. Nora Ephron, if she were alive, might've shot a scene for her latest movie in one of the lush green parks that bookend my block. The neighborhood wasn't always so nice. A few years back, during a reporting trip to China, I met an American consultant who had known Capitol Hill in a darker era. "I was driving up the street one time," he told me, "and walking in the opposite direction was this huge guy carrying an assault rifle. Broad daylight, no one even noticed. That's what kind of neighborhood it was." Nowadays, row houses around me sell for $1 million or more. I rent.

Washington's a fun place to live if you're young and employed. But as a recent Washington Post story pointed out, the nation's capital is slowly pricing out even its yuppies who, in their late-twenties and early-thirties, want to start families but can't afford it. "I hate to say it, but the facts show that the D.C. market is for people who are single and relatively affluent," a real estate researcher told the Post. The District's housing boom just won't stop; off go those new and expecting parents to the suburbs. And we're talking about the lucky ones. Elsewhere in the country, vulnerability in the housing market isn't a trend story; it's the norm. The Cedillo family, as Laura Gottesdiener writes today, went looking for their version of the American housing dream and thought they found it in Chandler, Arizona. They didn't know that the house they chose to rent rested on a shaky foundation -- not physically but financially. It had been one of thousands snapped up and rented out by massive investment firms making a killing in the wake of the housing collapse. As Gottesdiener -- who has put the new rental empires of private equity firms on the map for TomDispatch -- shows, the goal of such companies is to squeeze every dime of profit from their properties, from homes like the Cedillos', and that can lead to tragedy.

Drowning in Profits A Private Equity Firm, a Missing Pool Fence, and the Price of a Child’s Death By Laura Gottesdiener

Ongoing tensions in East Jerusalem and the West Bank cannot be separated from the larger reality that remains unresolved in the Israeli-Palestinian conflict, a senior United Nations official told the Security Council today. Briefing the Security Council on the situation in Jerusalem, Jeffrey Feltman, UN Under-Secretary-General for Political Affairs, acknowledged that recent heightened tensions over unilateral actions, provocations and access restrictions at holy sites in Jerusalem are contributing to a volatile situation, and stressed that further delay in negotiations and the pursuit of peace would only serve to deepen divisions and further exacerbate the conflict. “The status quo is not a viable option,” Mr. Feltman said. “Ignoring the calls from the international community for such negotiations for whatever excuse will only breed more violence in the region that has already seen too much of it.”

In his briefing, Mr. Feltman also said that Secretary-General Ban Ki-moon was “alarmed” by new reports about the advancement of planning for some 1,000 Israeli settlement units in occupied East Jerusalem, including about 400 units in Har Homa and 600 in Ramat Shlomo. This development follows Israel’s decision at the end of September to accelerate the progress of constructing some 2,600 residential units in Givat Hamatos, also in East Jerusalem. “The reality is that continued settlement activity in occupied Palestinian territory is doing significant damage to any possibility of a lasting peace between the two sides and is moving the situation ever closer to a one-state reality,” the Under-Secretary-General said. Reiterating the Secretary-General’s call for respect for the religious freedom of all, Mr. Feltman said the Secretary-General would be “closely following” developments in sacred places that have significance to millions of people around the world.

Noting that some members of the Council had again started discussing the possibility of adopting a new resolution on the Israeli-Palestinian conflict, Mr. Feltman said the Council “might wish to consider if the current paradigm, almost 50 years into the conflict, does not require revisiting our engagement thus far, so as to salvage the decisions of the Security Council and the relentless efforts of the international community, and to ensure that words are translated into actions.

Before dawn broke in Washington on Saturday, “Ukrainian pro-Russian separatists” – more accurately described as federalists of southeast Ukraine who oppose last February’s coup in Kiev – unloaded desperately needed provisions from some 280 Russian trucks in Luhansk, Ukraine. The West accused those trucks of “invading” Ukraine on Friday, but it was a record short invasion; after delivering their loads of humanitarian supplies, many of the trucks promptly returned to Russia. I happen to know what a Russian invasion looks like, and this isn’t it. Forty-six years ago, I was ten miles from the border of Czechoslovakia when Russian tanks stormed in to crush the “Prague Spring” experiment in democracy. The attack was brutal.

I was not near the frontier between Russia and southeastern Ukraine on Friday as the convoy of some 280 Russian supply trucks started rolling across the border heading toward the federalist-held city of Luhansk, but that “invasion” struck me as more like an attempt to break a siege, a brutal method of warfare that indiscriminately targets all, including civilians, violating the principle of non-combatant immunity. Michael Walzer, in his War Against Civilians, notes that “more people died in the 900-day siege of Leningrad during WWII than in the infernos of Hamburg, Dresden, Tokyo, Hiroshima and Nagasaki taken together.” So the Russians have some strong feelings about sieges. There’s also a personal side for Russian President Vladimir Putin, who was born in Leningrad, now Saint Petersburg, eight years after the long siege by the German army ended. It is no doubt a potent part of his consciousness. One elder brother, Viktor, died of diphtheria during the siege of Leningrad.

Despite the fury expressed by U.S. and NATO officials about Russia’s unilateral delivery of the supplies after weeks of frustrating negotiations with Ukrainian authorities, there was clearly a humanitarian need. An International Committee of the Red Cross (ICRC) team that visited Luhansk on Aug. 21 to make arrangements for the delivery of aid found water and electricity supplies cut off because of damage to essential infrastructure. The Ukrainian army has been directing artillery fire into the city in an effort to dislodge the ethnic Russian federalists, many of whom had supported elected President Viktor Yanukovych who was ousted in the Feb. 22 coup. The Red Cross team reported that people in Luhansk do not leave their homes for fear of being caught in the middle of ongoing fighting, with intermittent shelling into residential areas placing civilians at risk. Laurent Corbaz, ICRC head of operations for Europe and Central Asia, reported “an urgent need for essentials like food and medical supplies.” The ICRC stated that it had “taken all necessary administrative and preparatory steps for the passage of the Russian convoy,” and that, “pending customs checks,” the organization was “therefore ready to deliver the aid to Luhansk … provided assurances of safe passage are respected.” The “safe passage” requirement, however, was the Catch-22. The Kiev regime and its Western supporters have resisted a ceasefire or a political settlement until the federalists – deemed “terrorists” by Kiev – lay down their arms and surrender.

For years, homeowners have been battling Wall Street in an attempt to recover some portion of their massive losses from the housing Ponzi scheme. But progress has been slow, as they have been outgunned and out-spent by the banking titans. In June, however, the banks may have met their match, as some equally powerful titans strode onto the stage.  Investors led by BlackRock, the world’s largest asset manager, and PIMCO, the world’s largest bond-fund manager, have sued some of the world’s largest banks for breach of fiduciary duty as trustees of their investment funds. The investors are seeking damages for losses surpassing $250 billion. That is the equivalent of one million homeowners with $250,000 in damages suing at one time. The defendants are the so-called trust banks that oversee payments and enforce terms on more than $2 trillion in residential mortgage securities. They include units of Deutsche Bank AG, U.S. Bank, Wells Fargo, Citigroup, HSBC Holdings PLC, and Bank of New York Mellon Corp. Six nearly identical complaints charge the trust banks with breach of their duty to force lenders and sponsors of the mortgage-backed securities to repurchase defective loans.

Why the investors are only now suing is complicated, but it involves a recent court decision on the statute of limitations. Why the trust banks failed to sue the lenders evidently involves the cozy relationship between lenders and trustees. The trustees also securitized loans in pools where they were not trustees. If they had started filing suit demanding repurchases, they might wind up suedon other deals in retaliation. Better to ignore the repurchase provisions of the pooling and servicing agreements and let the investors take the losses—better, at least, until they sued. Beyond the legal issues are the implications for the solvency of the banking system itself. Can even the largest banks withstand a $250 billion iceberg? The sum is more than 40 times the $6 billion “London Whale” that shook JPMorganChase to its foundations.