Transcripts For RT Boom Bust 20240713

List smart phones laptops and tablets manufactured by wall way will continue to use android for the foreseeable future with hope officials hoping they will never have to make an official switch to harmony meanwhile the Financial Times is reporting news that Chinas Communist Party has called on all state offices to move forward hardware within the next 3 years the policy has a 352 mandate which means replacement of the software and equipment will happen at a pace of 30 percent in 202050 percent in 2021 and the last 20 percent in 2022 analysts say that this could mean as many as 30000000 pieces of foreign equipment in these Chinese State offices that will need to be replaced now for more on this we did an apparent trade win for the u. S. Lets bring in peter schiff c. E. O. Of Euro Pacific Capital peter thank you so much for joining us today i want to jump right in here so lets start with your reaction to this reporting regarding chinas plans to remove foreign hardware from stays offices in. Is this a consequence that the Trump Administration may not have seen coming when they started their battle with weiwei some months ago. Well you know government members never sees the unintended consequences of their actions and certainly this is one of them had this is one way that america loses by fighting a trade war the best thing to do would be for trump to concentrate on making government smaller that is the real problem for u. S. Companies but unfortunately trump has been making government bigger he the other problem has been the Federal Reserve but now donald trump is leading the charge for the more of the same reckless Monetary Policy that has been the problem in the past and so its going to continue to be a problem in the future. You know trade has been a topic of conversation since the start of the u. S. China trade war but one issue thats gotten very little talk is the u. S. In ca we just reported on the fact that the deal looks like its been finalized here is the new nafta im not sure why we needed a new now when were trying to get rid of the old one but what do you make of the Mexican Foreign minister marcello d board saying that they could accept provisions regarding the origin of steel and aluminum in north america but only if they take effect 5 years after the trade deals ratified whats the point of all this peter. Well of the point of all of it is so trump can keep a Campaign Promise you know he he hasnt been able to deliver even a phase one deal with china let alone a substantive geale so basically u. S. M. C. A is really the only shot hes got at a deal but you know the reality is the new draft is not that much different from the old nafta and in fact i believe that had the new nafta been the original deal Donald Trumps Campaign Rhetoric would have been identical of we had that deal he would have been saying this is the worst deal ever and hes going to go and change it and so then he would be tweaking it again and you know im not sure whether or not on balance this improves the deal from the perspective of the American Economy or makes it worse i mean i think i recall when i 1st read about it there were. Some things that i thought maybe made it better and some things that made it worse from the perspective of the consumer because trade is supposed to benefit the consumer give him more goods at lower prices i dont know that this actually is going to deliver that but again the real problem is not nafta or u. S. M. C. Its our own government its our own taxes and regulation and central banking thats the root of the problem and right now were just rearranging the deck chairs on the titanic yet because the bottom line is nafta issue wasnt about you know labor standards in other countries and making it all even the issue with nafta were jobs that left the United States manufacturing jobs that went south into mexico right thats essentially when trump is campaigning about this saying thats what it was made it such a terrible deal so the u. S. If he doesnt fix any of that right he doesnt send any jobs back to the United States how again the worst deal ever i guess he would be saying that if this were not the big deal hes putting together. A course now he claims that the new one is the greatest deal ever when theres very little difference between these 2 extremes but you know what the provisions are trying to do that you identified trump is not talking about making america more competitive hes trying to make mexico less competitive by trying to get the Mexican Government to screw up very histories to match the way the u. S. Government is screwing up bars so thats not going to help americans to make mexico less efficient and its not going to being bring jobs back to the United States because theres all sorts of countries besides the United States and mexico we need a more competitive American Economy a more competitive American Manufacturing base these trade deals are going to do that but as i said earlier whats going to do that is Smaller Government fewer regulations you know lower taxes and to do that we need a much Smaller Government and we need more savings and Capital Investment and to do that we need an independent central bank that lets Interest Rates go up so that savings can go up but of course that means that the stock market bubble is going to pop the bond market bubble the Real Estate Market bubble and were. Going to have to you know get out of this phony economy and live in the real world and you know what peter and youre actually you know when you talk about the Central Banks the bank of International Settlements released a report citing an unwillingness by the big banks to lend cash account for the injection of billions of dollars in repo markets why are banks so reluctant to lend right now and this is a trend were going to see moving forward as the state of the Global Economy remains in flux i mean when were talking about good Monetary Policy here it doesnt seem like this is good Monetary Policy. Well one reason is they dont have the funds to loan out but the other reason is the loans are not worth the risk i mean thats the problem if you make a loan youve got to get your money back and the Interest Rates are so low that its probably not even worth the risk why it might take all that risk to get a tiny amount of return if youre putting all of your principle in jeopardy because the Interest Rates are too low the fed has got them too low its keeping them too low to sustain these bubbles to prop up the phony economy and so now the Federal Reserve has to come in and create the money out of thin air because theres no legitimate savings to finance all these loans record deficit spending record debt and such artificially suppressed Interest Rates and all this means a major financial crisis is coming peter schiff c. E. O. Of europe Pacific Capital theres a lot more we could cover but we dont have the time so thank you today and im sure they. Are. All right so listen to this amazon c. E. O. Jeff bezos says that his company will support the department of defense and wants to move forward providing support to pentagon programs. Of course he does an annual defense form of the Reagan Library in simi valley california based the state of this quote we are going to support the department of defense this country is important in quote ok obviously but keep in mind amazon just lost a bid for it in the 110000000000. 00 Cloud Computing computing contract with the pentagon last month after which and was on filed a lawsuit in federal court contesting the award of that contract to microsoft again this is a 10000000000. 00 contract were talking about here and was on have been expected to win the bid and now claims that president trumps dislike for bezos unfairly since the contract over to microsoft at the forum where bezos made these comments about supporting the department of defense and how important the country is he was partially responding to questions about google employees who push back against their employer using googles technology during warfare but as a says that while he supports his employees having passionately held views how kind of him it is up to the Senior Leaders of the company to provide guidance into what projects they would and would not do saying this quote my view is that if big tech is turning their back on the department of defense this country is in big trouble now you know been. It seems like theres an easy observation here is just once that easy money from that government and media keeps coming back over and over again you sign that deal and you sign a 10000000000. 00 contract with the government you know you do a couple of things and also its a 20000000000. 00 contracts a little look heres the reality if jeff bezos that was being. Sincere right about this heres what he would say well do this thing at cost right we dont have to make money on the 60 percent of amazons bottom line is made up through its 8 of us Cloud Computing services so they could say hey listen as a patriotic act as we wrap ourselves in the flag what were going to do is go ahead with this economy is not doing that instead he wants 1000000000. 00 multibillion dollar contracts to flow in from the department of defense in order to do this and then says hey. My employees have a problem with that too bad because were the visionaries we know what were doing you know what hes going to say i mean we cant just do it for free weve got the best service in the world maybe one time now for a quick break but a year because when we return their stock keeps falling since the acquisition of month santo 3 juries have found that round up caused cancer and now the number of claims being filed has more than double most of americas lawyer might happen tony who joins us to explain where the lawsuits go from here and. Decided to reduce production for the group plan a total 500000 barrels per day. Has agreed to slash oil output in the wake of the saudi aramco up the David Mckelvey any of any financial help us understand the cut and drills into whether this could ultimately backfire on the International Organization and as we go to break here your numbers at the close. And. You know world of big partisan movies lot and conspiracy its time to wake up to dig deeper to hit the stories that made history media refuses to tell more than ever we need to be smarter we need to stop slamming the door on the bats and shouting past each other its time for Critical Thinking its time to fight for the middle for the truth the time is now for watching closely watching the hawks. Facebook and google started with a great idea and great ideals unfortunately it was also a very dark so. They are constructing a profile of you and that profile is real its detailed and it never goes away turns out that google is manipulating your opinions from the very 1st character that you type into the search bar it will always favor one dog food over another one comparative Shopping Service over another and one candidate over another they can suppress certain types of results geist on what they think you should be seen if they have this kind of power then democracy is an illusion the free and Fair Election doesnt exist for the more growth we give them the sooner we are all handed. The. Same wrong. Well we just dont know. Any world that is yet to stamp out disdain become educated and it gains from it because of the trail. When so many find themselves worlds apart. Just of the common ground. So what weve got to do is identify the threats that we have its crazy. Let it be an arms race. Scary dramatic and if i were only going to resist i dont see how that strategy will be successful very critical time to sit down and. It seems to have gone from bad to worse for bear pharmaceutical ever since acquire a u. S. Seeds Company Monsanto for 63000000000 dollars last year now bear says that the number of cases alleging that the companys herbicide weed killers including roundup have caused cancer have more than doubled over the past 3 years in july the Company Reported that 18400 cases and that number ballooned 242700 cases by october 11th you have already 3 u. S. Juries have ruled against bear in cases brought by americans claiming that round up because their cancer shares america plummeted by 30 percent since the acquisition was completed in the summer of 2018 last year joining us now to go in depth of americas lawyers americas lawyer himself mike happened tony and mike thanks for being here. Yeah lets start with this claim that there is. Making that there is extensive Scientific Research they say showing that the state based herbicides are safe and they say do not cause cancer but again 3 juries have already ruled that they do so how does bear overcome that. Well they cant i mean the truth is being clear now that what the science theyre relying on is science that they paid for they went out and found. That would sign off on what it whatever it is they would actually write the articles called ghostwriting they would write the article they would take it to a scientist or a doctor that wanted a little make a little extra money on the side little extra money half a 1000000. 00 or a 1000000. 00 simply to put their name on the bottom of the document it was all a lie the Clinical Data was phony the clinical conclusion was phony but that didnt stop the didnt stop scientists that wanted to make this little extra money signing off on it and because of that theres 42000 lawsuits right now and many many people have been injured by round up in that number i got to tell you it just keeps increasing its going to continue increasing look can you imagine being the people at bear corp who made the decision to buy monsanto knowing that this liability case was way way beyond anything that was me unpublicized its laziness its corporate laziness its a c. E. O. In the advisor to the c. E. O. Of bear who didnt have enough sense to look behind the science and what they had coming at them was these Silk Stocking wall street lawyers that were telling me oh yeah this is a good merger this is a good buy for you so they purchased this for 62000000. 00 they obviously ignored the fact that the claim just right now if this case were to settle today before these numbers increase theyre already looking at 15. 00 to 16000000000. 00 just to make. This go away in another 2 months another 3 months that number of 42000 cases will be up 270000 so the c. E. O. For that person 1st of all not to be fired and have all of the all of the folks that advised them not to be fired cleaned out in said you idiots bought a problem thats going to cost us 15. 00 to 17000000000. 00 knowing knowing clearly that the science showed a clear relationship between this product and cancer so i mean you go tell me youre more familiar with the Business World than i am that what im familiar with is that we the way this was sold to them is they had these Silk Stocking lawyers that were charging 23000. 00 an hour telling them oh yeah this is fine were ok and then they get hit the 1st time then they get it the 2nd then they get it the 3rd time and im going to hit them again at the 1st of the year and the science is clear they can try to dress it up any way they want this is a losing proposition for bear and monsanto they better get out of this case and now from a business standpoint they better move on right now and its interesting that you mentioned the thoughts of bears c. E. O. Because theyve been making the point right now that this huge jump in lawsuits is because the surgeon antiriot up advertising on the plant plaintiffs side now estimating that over 50000000. 00 on t. V. Advertising alone has been spent in the 3rd quarter of this year you know how much of this actually has to do with advertising and is actually people who have problems here. Think of how ridiculous that argument is ok theyre complaining because people are advertising and now all of a sudden people that say yeah i saw the advertisement and oh by the way i have not hodgkins lymphoma and oh by the way ive been around round up for 3 years at a really steady pace ive been exposed to it ive had it on my skin ive breathed it and then look for somebody to make the are. The only reason we have this problem is because advertising that same idiot who makes that statement should say shouldnt we have looked at this bear before we spent 62000000000. 00 buying this Useless Company thats been lying to the world for 2 decades now mike theyll quit phony science i want to talk to her segues i have one more question were almost out of time i want to get to this real quick bear theyre trying to engage in mediation at this point right trying to work something out but it sounds like what theyre trying to do and i want to get your take on this is a lawyer is essentially get a settlement which would cover potential future claims and then cap liability about 30 seconds here what do you think of the chances of them actually getting the well ok yeah ok here it is the negotiator working on this case for the plaintiffs is a dear friend of mine and hes one of the best negotiators in the country his name is perry whites if they dont take a lead from perry whites theyre going to be in trial for the rest of the life of that company i can promise you if they have their one shot the only person negotiating right now is perry white people like me who do this seriously for a living we have faith in perry whites if they dont get it now theyre going to be 70000. 00 cases into this and its going to cost him far more than 17000000000. 00 might have been tony a host of americas lawyer appreciate your time thank you. With the worlds biggest i. P. O. Just got bigger the proceeds from saudi aramco is record i. P. O. Have actually risen to 29400000000. 00 after the oil company exercised an option to sell another 15 percent more stock now one of the Big Questions surrounding this i. P. O. Will the stock plunge as weve seen with other huge i. P. O. s as of late well maybe not because that the arabiya heavily targeted individual investors in a countrywide Marketing Campaign prior to the i. P. O. Retail investors Retail Investors excuse me who hold shares. 180. 00 days from the 1st day of trading they will be eligible to receive one share for every 10 held the maximum bonus shares will be 100. 00 per investor and on that note lets bring in david. C. E. O. Of the macau veiny Financial Group i said that right. Lets start with. The not that means its wrong lets start with that what do you what do you think about what the saudis have done theyve done a pretty good job of Building Security into the valuation of the record i. P. O. Yeah well 1st of all this is really a fiscal transfer from local investors to the saudi state i mean that is if you look at how they orchestrated their international roadshow and then shut it down it was pretty clear that they did not have a global audience for the stock they were not willing to be transparent with a number of disclosures that other exchanges require so d its going to be listed on the Saudi Exchange and its going to go to primarily a saudi audience and these are your longer term holders of stock i dont think you are talking about saudi daytraders coming in and out of the. Issues that they now own so i dont i dont see there being a catastrophic decline because this is almost youre expected to hold it youre expected to buy it and thats the audience who are really talking about in saudi arabia very interesting now we want to take a little bit of a broader look at the oil markets right now Goldman Sachs raised its oil pro sport price forecast for 2020 citing tighter than expected inventories opec countries have agreed to slash production but the u. S. Has not committed to cutting Oil Inventory how is this going to affect oil prices as we move forward into 2020. Yeah i mean a couple things weve had great production here in the United States a lot of that has to do with the amount of credit available in the oil patch and so as that changes as we look at loan redetermination is here in the 4th quarter and as we head into next year i think youre going to see more constraints put on Us Oil Production so to see declining production here in the United States i think you can expect that i think opec still has an issue and yes we have their meeting that telling us theyre going to cut 5500000 barrels but they still have to bring all of the members in alignment youve had a number of their. Selling into the market on officially through sort of quiet channels so im not exactly sure what that really represents when you already have opec members that are not compliant with their current quotas yes so thats obviously an issue when you cant even keep members of opec in line and then you have this issue of opec plus right would represent so back in the other countries like russia they have agreed agreed to slash production but only on a temporary 3 month deal do you think that the is going to be extended or is this more of the same problem you just described. Some of its going to boil down to what is the price of oil so if we maintain a low level then youll see the cuts stay in place an extra 3 months and our guess is that you see closer to a 70. 00 average is whereas we had 65. 00 this last year so 70 with with upside to maybe 85. 00 and again at some of that is coming from us production not being cut but there being less coming to market because of the decline rates and david quickly i want to ask you one more which is used in automobile catalytic converters soared to a record just shy of the 900. 00 mark on monday while gold is edging higher and uncertainty over the u. S. China trade talks took center stage ahead of the december 15th deadline for fresh u. S. Tariffs what are we expecting to see from these Precious Metals and palladium in gold moving forward. Well great question palladium is an interesting case because youre talking about something that is used primarily in gasoline catalytic converters whereas platinum is more in diesel so if youre looking at a market preference today which tends to be fairly fickle that market preference but nonetheless the preference is for gasoline versus diesel you see that flip flop and all of a sudden youve got a very different direction for the metals right now youre looking at about a 2 to one ratio between palladium to platinum it could arguably be seen at 2 to one the other way and thats not out of the historical norm to see these kind of swaps when purchasing managers are run out of in. When tory and start pushing and promoting another product gold very interesting i think the word you used was uncertainty and uncertainty is critical to price move in gold with a declining Economic Trend on a global basis really the u. S. Is the only standout not in that same trend to date its no surprise to see gold at all time highs in euro terms in british pounds in Canadian Dollars in australian dollars you can go to a dozen different locales around the world and gold is booming the only reason its not in the United States i think is because youve got the dollar which is as some of describe the best looking horse in the glue factory is holding its own with Global Concerns from a financial and Economic Perspective were still seeing some hate safe safe haven buying of u. S. Dollars in u. S. Dollar assets so thats a boost of the dollar relative to other other currencies but i think gold has a very Bright Future i wouldnt be betting that long because youve got a number of speculators are currently in the palladium market mckelvey any of my Company Financial thank you so much for your time. And great to be with you get. The final frontier could in fact be a real money maker Morgan Stanley started coverage of Virgin Galactic stock on monday it expects out of this world results for the possibility of state Space Tourism analyst david jonas wrote to investors a viable Space Tourism business is what you pay for today but a chance to disrupt the multitrillion dollar Airline Industry is what is really likely to drive the upside were going to get to that in the sec it following the rating from Morgan Stanley Virgin Galactic stock is up 14 percent to over 8. 00 but still well below the high of 12. 93 not exactly stellar the investment banks said if all goes well the price target for the company would be around 22. 00 per share so theres still a lot of room to move Virgin Galactic expects to launch its 1st space tourist in 2020 and well try to increase that to 3000 people a year over the next decade you might note that the comment about disrupting airlines which i said id get back to burgeon galactic road show they laid out a 3 phase plan 2 of which focused on tourism while the 3rd look toward pointed towards a point to point travel. Better than that one but thats it for this time you can catch boom bust on youtube dot com slash boom bust archie see you next time. When there is only johnson. And i just got out of prison for. 41 years. Im 73 and so now i got arrested for time my son might. Feel like just everything was taken out of. My work in the hospital it was. Meant to snow man that looks a little bit like me. I would have called about. Homicide on 2 cars. Now. That. Were tough you is. By law so youre going. So they dont have to go to the curb. Neither do know im afraid of trying to frighten kids when i get. Snow do something i didnt do. The world is driven by dreamers shaped by the curse of those great. Military thinks. We dare to ask. To globalization be dollars ation you know what is happening as the world is kind of drifting apart in a lot of different lawyers we look into it because theres an Economic Force behind it is always. Russia sports world is reeling off of the country was banned for 4 years from Major International tournament and. The growth of the sides still so low how could this punish the whole country all the athletes no matter whether they dumped or not they should just punish those who were guilty. Of 6 hours of talks in paris the leaders of Russia Ukraine france and germany agree to implement a phone seized by Eastern Ukraine by the end of the year. And the new feminist closing of the classic tale snow white has released with a twist in the polls we debate the trend of updates in classic cartoons to make it more diverse i think. This is political