*** SATURDAY/SUNDAY, AUGUST 17 - 18, 2019 ~ VOL. CCLXXIV NO. 41 WSJ.com HHHH $5.

Almost as soon as Ethiopian

Airlines Flight 302 spun free

from the runway March 10, the

instruments in front of Capt.

Yared Getachew went haywire.

The digital displays for altitude, airspeed

and other basic information showed dramat-

ically different readings from those in front

of his co-pilot. The controls in Capt. Ge-

tachew’s hands started shaking to warn him

the plane was climbing too steeply and was

in imminent danger of falling from the sky.

Soon, a cascade of warning tones and col-

ored lights and mechanical voices filled the

cockpit. The pilots spoke in clipped bursts.

“Command!” Capt. Getachew yelled twice,

trying to activate the autopilot.

Twice he got a warning horn.

Another powerful automated

flight-control system called

MCAS abruptly pushed down

the jet’s nose. A computerized voice blared:

“Don’t sink! Don’t sink!”

The pilots wrestled with the controls, des-

perate to raise the nose of their Boeing 737

MAX. Three times Capt. Getachew instructed

co-pilot Ahmed Nur Mohammed, “Pull up!”

At the same time, a clacking warned the pre-

occupied pilots the plane was flying too fast.

Four minutes into the flight, the pilots

touched the problem’s source, simultaneously

Please turn to page A

By Andrew Tangel,

Andy Pasztor and

Mark Maremont

Philip Casey, 62, first read

about Mr. Warfield’s promise

in a newspaper.

“I thought, good on him,” he

said, as he waited for the Wolfe

Tones to hit the stage.

The U.K. annexed Rockall in

1955, in what London newspa-

pers dubbed the last act of the

Empire, to stop the Soviet

Union using it to spy on Brit-

ish missile tests.

Though it doesn’t claim the

rock as Irish, Dublin has never

recognized British sover-

Please turn to page A

DERRYBEG, Ireland—Brian

Warfield has promised to re-

verse Britain’s last act of im-

perial expansion, and claim

the Atlantic island of Rockall

for Ireland.

Rockall is an 80-foot wide,

uninhabitable rock, battered

by 50-foot waves. The nearest

habitable land, Scotland, is

around 230 miles away. Mr.

Warfield is a 73-year-old Irish

folk musician without a boat.

Tensions between Britain

BYALISTAIRMACDONALD

and Ireland are rising over the

prospect of a no-deal Brexit.

Fans of Mr. Warfield’s band,

the Wolfe Tones, want him to

make good on the pledge.

Rockall Is Just a Rock, but Brian Warfield Wants It

iii

The 73-year-old musician thinks it should be Irish, not British

Rocky road

Tariffs

Will Hit

Wide

Range

Of Goods

Consumers will feel the

impact starting Sept. 1

despite Trump reprieve

for certain categories

WSJ

THEWALLSTREETJOURNALWEEKEND

Has Xi

Stirred a

Backlash?

REVIEW

A Skeptic’s

Guide

To Canned

Wines

OFF DUTY

SECONDHAND

Young adults are fueling a rise

in the sale of used clothes. B

ton ally that hosts the largest

U.S. overseas military base as

well as a U.S. missile-defense

system that has drawn Bei-

jing’s ire. While many of the

air maneuvers don’t violate in-

ternational law, according to

Seoul’s military, they challenge

Washington’s patience.

It was much less common

for Beijing or Moscow to con-

duct such flights earlier this

decade, South Korean officials

say, adding the uptick that be-

gan in recent years appears to

reflect a marked policy change

for both countries.

The flights around Korea

hit an inflection point last

month when a Russian com-

Please turn to page A

EXCHANGE

Chinese, Russian Jets

Test U.S. Allies in Asia

SEOUL—Chinese and Rus-

sian warplanes have increas-

ingly nosed around and veered

into South Korea’s airspace,

conducting close patrols that

allow Beijing and Moscow to

test the air defenses of the

U.S. and its allies in the region.

The aerial campaigns come

as Beijing vows to strengthen

its military alliance with Mos-

cow, heightening tensions

across the Asia-Pacific region

as the U.S. and China jockey

for power there.

The Korean Peninsula is

again providing a convenient

stage for military provocations,

as it did during the Cold War.

The Chinese and Russian

jets fly near the coastlines of

South Korea, a key Washing-

BYANDREWJEONG

The 4-Second Catastrophe:

Why Boeing’s MAX Failed

The company assumed pilots could handle any malfunction

gerheads over a potential trade

deal, economies throughout

Europe are weakening and cor-

porate earnings are slowing.

Thenextbigcatalystforthe

stock and bond markets will

likely come next week when

Federal Reserve Chairman Je-

rome Powell is scheduled to

speak at the central bank’s an-

nual retreat in Jackson Hole,

Wyo. Investors are eagerly

awaiting any signals on how

the recent escalation in trade

tensions between the U.S. and

China could play into the Fed’s

policy and whether it could

lead to more rate cuts in the

coming months.

Please turn to page A

The Dow Jones Industrial

Average bounced back from

Wednesday’s 800-point selloff

with two consecutive sessions

of gains and a modest weekly

loss. But investors’ lingering

fears about a potential reces-

sion remain unresolved.

Positive developments

around trade and reassurances

of extra stimulus from central

bankers buoyed markets Friday.

The blue-chip index ended the

week down 1.5%, belying the

dramatic swings and rush to

government bonds that domi-

nated earlier trading sessions.

Even as markets calmed,

many analysts and traders said

they were still on edge. The

U.S. and China remain at log-

BYCORRIEDRIEBUSCH

Stocks Overcome Volatile Week

But Investors Remain On Edge

WASHINGTON—President

Trump may have scaled back

tariffs on Chinese goods this

week to spare holiday shop-

pers, but consumers are still

likely to feel a pinch.

An array of apparel, elec-

tronics, watches and sporting

goods from China will be hit

with levies of 10% starting Sept.

1. The value of those and other
   products subject to the new
   tariffs totaled $111 billion last
   year, according to a Wall Street
   Journal analysis. While econo-
   mists say the impact won’t de-
   rail the U.S. economy, it could
   slow fourth-quarter growth.
   “It is not entirely accurate
   to label this a de-escalation,”
   said Chris Krueger, managing
   director of the Cowen Wash-
   ington Research Group. He lik-
   ened the policy to telling
   someone: “I was going to
   break both of your arms on
   Sept. 1—now I am only going
   to break your elbow.”
   Beijing wasn’t impressed by
   the ratcheting back of tariffs,
   either. On Thursday, an official
   with the State Council’s Cus-
   toms Tariff Commission de-
   nounced the rise in tariffs and
   said “China would have no
   choice but to take necessary
   countermeasures.”
   Mr. Trump did sideline tar-
   iffs on smartphones, laptops,
   toys and other Chinese im-
   ports valued last year at $
   Please turn to page A

BYANTHONYDEBARROS

ANDJOSHZUMBRUN

1.

1.

1.

1.

1.

1.

1.

%

Indexperformancethisweek

Sources: FactSet (stocks); Tullett Prebon (yields)

Mon. Wed. Fri.

10-year note

Two-year note

Mon. Wed. Fri.

YieldsonU.S.Treasurys

2

• 
  


• 
  


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0

1

%

Nasdaq Composite S&P 500

Dow Jones Industrial Average

 Deere trims forecast as trade

fight weighs on farmers...... B

 Some investors bet the flight

to bonds is overdone............. B

 Administration decides to sell

F-16V jets to Taiwan............. A

ANNIE FLANAGAN FOR THE WSJ

 U.S. consumers are still
likely to feel a pinch from
tariffs as an array of ap-
parel, electronics, watches
and sporting goods from
China will be hit with levies
of 10% starting Sept. 1. A

 The Dow rebounded from
Wednesday’s 800-point sell-
off with two consecutive ses-
sions of gains and a modest
weekly loss. But investors’
fears about a potential reces-
sion remain unresolved. A
 The 2019 bond rally has
reached epic proportions
this summer, but a pack of
skeptical investors is bet-
ting it is way overdone. B

 Deere provided fresh ev-
idence of weakening condi-
tions in U.S. manufacturing,
saying lower demand for farm
commodities is discouraging
purchases of its machinery. B

 Cathay Pacific’s CEO re-
signed after the airline
came under fire from Bei-
jing over its employees join-
ing Hong Kong protests. A

 PG&E scored a crucial win
as a judge allowed it to hold
on to sole rights to fashion
a chapter 11 exit plan. B

 Apollo has approached
broadcasting company Tegna
about a potential deal. B

 Summer unemploymen t
among young Americans is
the lowest it has been
since the 1960s. A

What’s

News

CONTENTS
Books..................... C7-
Business News...... B
Food......................... D6-
Heard on Street...B
Obituaries................. A
Opinion............... A11-

Sports....................... A

Style & Fashion D2-

Travel...................... D4-

U.S. News............ A2-

Weather................... A

Wknd Investor....... B

World News....... A6-

s2019 Dow Jones & Company, Inc.

All Rights Reserved

>

C

hinese and Russian war-
planes have increasingly
nosed around and veered into
South Korea’s airspace, con-
ducting close patrols that test
the air defenses of the U.S.
and its allies in the region. A
 The Trump administration
has decided to sell billions
of dollars’ worth of F-16V
fighter jets to Taiwan, a move
likely to anger Beijing. A

 Trump met with advisers
to consider a deal with the
Taliban that could lead to the
end of America’s longest mil-
itary engagement abroad. A

 Some Israeli officials fear
the decision to deny entry to
two U.S. congresswomen will
undermine bipartisan support
for the country in the U.S. A

 Chinese video-surveillance
gear that has provoked secu-
rity concerns has been listed
on an online store catering to
U.S. government agencies. A

 An appeals court deliv-
ered a mixed ruling on tough
asylum restrictions for Cen-
tral Americans arriving at
the U.S.-Mexico border. A

 Epstein died by hanging
himself, according to an
autopsy, capping days of
speculation about the dis-
graced financier’s death. A

 Danish and Greenlandic
officials dismissed Trump’s
privately expressed inter-
est in the prospect of the
U.S. buying Greenland. A

World-Wide

Business&Finance

NOONAN

A Tabloid Legend on

Jeffrey Epstein’s

Death A

Sun, Sand and Water Beckon Crowds as Summer Wanes

DAY AT THE BEACH: Vacationers enjoy the sun and surf Friday at Oludeniz on Turkey’s southwest coast. The town, known for its calm,

aquamarine waters, and other Turkish resorts saw a 100% occupancy rate during Eid al-Adha vacation period, which ended Sunday.

BURAK KARA/GETTY IMAGES