Transcripts For RT Boom Bust 20240713

How much of this is connected to travel stocks and the coronavirus were going to explain it plus the state of california has declared a state of emergency related to the crowbars well have a live report and coke in mongolia is about to get its own Competitive League weve got the details so much to get to on this very busy day so lets get started. And we begin with another manic day on wall street as thursday the dow dropped over 1000 points again essentially erasing almost all of the 1200 point gain from wednesday it has been nothing short of a wild week on wall street with the dow swinging a 1000 points or higher twice in just the past 3 days monday markets posted their largest single day gain wednesday the dow posted its 2nd biggest gain as the healthcare sector shot up thanks to that super tuesday win for joe biden investors almost seem to be cheering signs of a Global Response to the corona virus which includes more than 8000000000. 00 in emergency funding. Coming from congress but that optimism didnt last for very long as california declared a state of emergency after a coronavirus related death and 53 confirmed cases in the state well meanwhile the Airline Industry has been hit hard over the past few weeks we told you about that its all thanks to the good the decline in air travel its so bad in fact that fly the europes Largest Regional Airline has collapsed into administration on thursday morning as the economic damage caused by the ongoing virus escalated the airline cease trading in the early hours thursday more on all of that coming up in a pool report but for now lets stay focused on the markets right because we want to bring in chief strategist for Global Trading todd but lets talk about todd this insane week that weve been having so lets start here whats going on with this because we saw the dow as i mentioned up almost 1300 points on monday down 76 on tuesday up almost 1200 wednesday down almost down over 1000 again today do you ever remember a time when youve seen this kind of yo yo effect with the markets to this extreme. Well again you have to look at it percentage wise and weve seen this kind of movement but obviously we werent at 28000 at the when it started i think what youre seeing here is just a market that is showing you that the top is probably yes you know weve talked about on your show for a couple of months that i thought we were in the early stages of a recession investors were looking for an excuse to sell and i think thats what youre seeing here i think this is very good topping action to a market thats probably going significantly lower from here and i think youll see a lot of these days but again remember when you look at percentage wise its feels bigger but its true the same if you go back and look back in history you can see that we had these monster swing days back and forth and probably similar percentage that we have now and now but weve also i mean everybody was calling for this Federal Reserve not everybody but there were people calling for the Federal Reserve intervention earlier this week and they were hoping it would stable the eyes the economy bring us up but thats not whats happening i mean we saw a good day. Then weve seen a terrible day so what else could the fed do to bring stability or or is the answer really stay the heck out of it. What the fed should do is close its doors and close for business forever i mean they have no business involved in this and there is no reason to make Interest Rate cut for i did i just read cut for a virus ok if youre great youre worried about the virus and injury because not going to solve it its like giving a chocolate bar or something for the cold i mean doesnt help so they should have stayed away because all theyre doing is they created their own panic because when they did it you saw what happened the market spiked up and then broke heart they cause this because theyre signaling that theres more trouble ahead and its not the trouble with the coronavirus its more trouble ahead in the economy in manufacturing and all those other areas so at the end of the day all the fed do if fed did was cause more sphere in this market than they did good you know lets talk about some specific industries here obviously bad news for the Airline Industry because all the cost of fuel is down the number of people traveling that has dropped significantly the latest reports indicate the Airline Industry could stand to lose in total 113000000000. 00 as we just reported that British Airline flight b they just went under so is this the start of a trend in the Airline Industry and other thing keeping the planes clean what can be done to encourage more air travel. Well i think what youre seeing here is your theres more panic by everybody whos not traveling and saying wow im not going to go you know im going to across the street because im going to stay in my house im afraid to go outside i think when this subsides itll be fine other airlines can adjust when it comes down to it i mean certainly theyve already started cut back the number of flights so it will cut down the number of losses that theyre taking here but really what it may mean we really need is more of an all clear or some type of vaccination that says everything is safe i mean basically this is really no more more than a bad flu but again the every the media interview also is creating tons of panic about this. Were shining things down were not were canceling trips were canceling business events so stay home all these things come into a little bit more of panic and fear for the average person on the street and i mean we havent just seen that this afternoon and to what youre talking about there regarding the cancellation of events i mean the St Petersburg Economic Forum schedule for the summer in St Petersburg russia that happens every single year Business Leaders and dignitaries from around the world usually go and theyve actually cancelled it just this afternoon so so you are seeing that and i think the issue that we have with this though is that when youre talking about travel and not just Business Travel but when youre talking about personal and Family Travel so theyre saying theres going to be vaccination tests theyre going to start in april so by the time we figure that one out whether this eradicates itself or not we may be into june before were we get that all clear to travel and then its too late its too late for the families that you see traveling around the world so is there anything to that. Well i mean theres a lot i mean this is disneys talking about shutting their parks in the United States so i guess theres certainly fear right now and youre seeing the reaction from everybody that theyre willing to close things down so hopefully we will get some kind of resolve here and they will say hey it really is just no more than the flu ok and we will get back to normal routines but you add this on top of an already slowing economy you had this on top of problems that were already creeping underneath the surface and thats going to create a pretty much of a mass panic at markets and you can see the mass panic were seeing within the streets of america that people are not willing to go anywhere and businesses are trying to stay home so basically every lock yourself in a house and not go anywhere and now speaking of just where we are with the state of the economy right now the weekly weekly jobless claims here in the u. S. Was released thursday understand it dunder scored the labor market strength despite what is happening either on wall street or with the coronavirus now claims for Unemployment Benefits slipped. 322216004 the week of february 29th now shouldnt those numbers give the market some confidence. Well again that would be jobs numbers is worthless ok to part them tomorrow is the big number but even tomorrows number you know any time the government reports a number theyre always adjusted later so is it real now we know that jobs are still fairly strong because theres a demand for jobs because a lot of jobs cannot get filled so it shows a big demand and were seeing you know people working which is great but again the jobs are the last thing to start to slow down as well start to see 1st it starts with the manufacturing the shipping i mean we are the shipping slowdown long before the coronavirus so as it seems back into the country or youre going to see that these jobs are going to start to disappear again i dont see i dont foresee 2008 again we get a lot of percent unemployment but i do see a significant slowing here and i can see some issues building a long as that your goes by so i totally agree with what you said earlier about the fed needing to get out of everything and stop basically circling chalking it as he said on everything. Totally agree but one thing that the fed rate cut did accomplish was a did push Mortgage Rates to their lowest level for the everyday person do we expect to see some positive response to that in terms of maybe an uptick in home buying home purchases refinance and does that make a difference. Well theyre expecting that but again i go back to the same problem i always have with these banks is that theyre not going to let it why would they let why they cant take that kind of a risk to lend its going to the to the average guy is going to have to go to the same usury type of lender that they go to now they go to you know one of these peer to peer joints because banks are loaning the average guy on the street a mortgage at under 3 percent i mean i would bet on that ok so at the end of the day the these these low rates benefit who they benefit the very wealthy who can take advantage of who can who can borrow and mortgage things and then reinvest their money and make more theyre paying them back so i dont see the banks taking any more exposure risk theyre already over a large to begin with and i dont think i dont see them starting to go under 3 percent this arent lending money to guys with a 640 or 60 credit score or whats great insight there thanks so much for your time. You. And globally we are continuing to see more cases of the krona virus reported outside of china rather than inside the country the world while Health Organization detailed the spread during their Daily Briefing on the virus. Outside china. 2500 to 2055 ks a swift boated set of countries around 80 percent of those cases going to you to come through me just countries. We seeing signs from that the public of claudia the number of new leaflets into qasr stuff to be declining. And the cases that are being reported out of being identified primarily from. Plasters hold a few countries. Large numbers of cases 115 countries have not seen any cases now in south korea mass testing has found more than 6000 cases as the death toll is now above 40 in the country. Alyan officials are reporting the number of cases in the country now tops 3800 with nearly 150 deaths and iran is reporting more than 3500 cases with at least 100 deaths on thursday germany also reported a spike of more than 100 cases in just one day and south africa reported its 1st case a 38 year old man who had recently traveled to italy. Now the total number of reported cases worldwide exceeds 95000 with more than 3300 deaths as always we note that at least 54000 people who have contracted the virus have recovered. Meanwhile here in the United States at least 18 states are affected by the virus with 2 more people being hospitalized in new york city raising the states total to 13 cases and in the state of california which if it were its own nation would boast the worlds 5th largest economy a state of emergency has been declared due to the corona virus r t correspondent attack just wait as the story. California governor Gavin Newsome declares a state of emergency hours after the state announced its 1st coronavirus related death the virus has claimed 11 lives in the u. S. Sending Financial Markets spinning the 1st death in california from the krona virus involved a person from Placer County who got sick under current ship before the virus only struck Northern California the virus has now infected people throughout the states in 12 different counties weve had a number of incidences throughout the state of california no longer north now in Southern California and now Health Officials are working to uncover exactly who else became ill or from the cruise ship that traveled from San Francisco to mexico and back more than half of the 2500. 00 passengers who returned aboard the grand princess on february 21st were from california according to new some the state has delayed another ships arrival from a trip to hawaii as several passengers and crew members showed signs of coronavirus symptoms secretary of health and Human Services in california says while many infected wont have severe symptoms they are preparing for the worst but we recognize that in certain regions and in certain populations they do experience more severe symptoms and require our hospitals and our clinical Delivery System to be prepared for that another cruise ship the grand princess is at the sea off mexico and will return to. Francisco the centers for Disease Control and prevention will soon determine the course of action Washington State and florida have also declared a state of emergency house lawmakers have struck a deal setting aside roughly 8000000000 dollars to help fight the virus within the u. S. One party and los angeles not just wants r. T. And federal prosecutors here in the u. S. Have charged former United Auto Workers president gary jones with conspiracy to embezzle union funds now according to documents filed enough federal court in michigan jones is allegedly one of several u. A. W. Leaders who stole more than 1000000. 00 from Union Coffers to fund private villas liquor golf and other high dollar items now jones is the highest ranking ex official to be caught up in the federal probe which became public in 2017 the ex union head is the 14th person charged in the investigation which led to the conviction of several officials including 2 former u. A. W. Vice president s jones resigned as president of the union late last year after serving just 16 months in the position as the unions governing board attempted to remove him over the allegations now the current president of the union rory gamble who are placed jones has promised to find and remove any bad actors inside the organization and now ben and this is a very frustrating situation if youre an advocate for labor as i generally have been i worked with ed schultz who covered this for many many years and was a supporter as well as my father was a you had a member himself so ive always had an affinity for for labor but when you see these types of scandals and allegations it just fits right into the narrative that the people who are anti labor have which is that these are all bugs who are going to steal your union dues i think theres theres some truth to that i in terms of the people at the very top so the problem is and this is true of every kind of organization right the people of the top can either help to build an organization to make you. Full and make it something that works for people or they can take advantage of it to be predatory and it seems like at least from the information is coming out here that certainly in the u. A. W. And with this guy in particular there was that predatory aspect of it no one else is really strange that was when you look at some of the things hes accused of there are always these weird kind of you know i want to live the high life golf in private it was in liquor is like youre going to steal a 1000000. 00 why not put it into something that has a return rather than just blown it on junk well and this is a working man who had come from a Glass Factory and i believe missouri if i remember correctly so i mean he was a u. A. W. Employ so i mean not to say that hes not doesnt have a great investment mind but it very possibly could be that in this situation you know he doesnt is not thinking right out and also feels entitled entitled to this stuff time now for a quick break but hey theyre able to come back they go she asians between the European Union and the United Kingdom they are going smoothly what are the issues well take a look and as we go to the break here the said said numbers of the close. And were going to fulfill that promise is possible to the people you know weve all but. Now you want to. Know. All 5 the. Link i link up with feeding our hopes our dreams our desires our money to computer screens and what do we get back to no liking thats thats a bad deal so when is technology jumping out of the street when is that going to be healthy need to keep me healthy to keep me informed or to keep me you know connected and i missed it so we will live in an area the post screen area where we will live with less and all these screens and it will be more in harmony or it will help us more. Time after time corporations repeat the same mantra sustainability its very important. Transitions to sustainable transport sustainability stay in her manner more equitable and sustainable well. They claim their production is completely hamas. Because. It. Companies want us to feel good about their products while the damage is being done far away and this is Something Else this lets keep going to an even and i mean look. This is the move and news limited window nieminen. Understood superman in. Dong is due to noise he could number 2 number one with no kid to get to play. Dont think. That you did and that of all of you said the. Significance of. That is because i dont think were pretty wrong even a drive up is not an active titles or. Something that motivates you to perceive you so some of it to. Go to. The goals that were put in. These are you sure theres a little bit that was true. For you before the supreme. Welcome back the e. U. s chief trade negotiator is warning that talks with the u. K. Are not going well and that there are big divergence between the 2 sides after the conclusion of the 1st round of talks speaking at a press conference in brussels Michel Barnier highlighted 4 main areas of disagreement a socalled level Playing Field judicial cooperation governance and fisheries says that while disagreements over these issues are expected some of these issues are quote very very difficult the teams are expected to meet every 2. 00 to 3. 00 weeks alternating between brussels and london half a dozen or so rounds of negotiation expected to take place between now and the end of june so joining this out of right cutlery board which board member with the British American Business Association hilary good to have you here so i youve actually predicted a lot of this on the show a single time and youve talked about a lot of these issues and one of the things youve said is that number one it will be difficult to get these deal. Yes and you have specifically brought up in the past this issue of fisheries well it was one of the 4 that was brought up talk to us a little bit about that why is this such a contentious issue actually i would say its a red line a real red line and that is because if you look back to 973 when the u. K. Actually was getting into the e. U. A lot of concessions were made in terms of over fishing rights in terms of the e. U. Fishing communities in france belgium the netherlands in germany going around to the west island fishing communities actually depend the whole livelihood on basically what the british consider invading the british waters coastal waters so when that when the u. K. Leaves the e. U. There will be a zone free sort of zone of 200 nautical miles right now the the Fishing Vessels from the e. U. Can go into about 6 miles off the coast in fact theres been a fisherman quoted of the coast of rye and he says you know you can see them on monday mornings that you know you can see them at 6 miles of coastline you can still be and this is a contentious issue i mean you imagine that the dutch would be like without their whoring you know so the staple diet of the European Community its fish from the u. K. And thats why its such a contentious issue now johnson has actually said we are going to maintain control of our maritime wealth our huge maritime wealth so its a leverage point for the u. K. Meanwhile you mentioned Michel Barnier he has actually said that without agreement on a fishing deal there are going to be trade negotiations so bottom line is what the u. K. Wants is Something Like a norway deal with norway deal is that each year there are renegotiations in terms of status and quota of the amount of fish that could be caught and right now the e. U. Takes more from the u. K. Waters even than the u. K. Fishing boats to the u. K. Its about Something Like 32 percent is more than 48 percent and some estimates have a about just 8 times from the e. U. What the u. K. Actually fishes so the u. K. Wants a norway deal and the e. U. Is pushing back mighty hard because what they wanted stability as i started out by saying for those maritime can you. Just to follow up so right now theyre allowed to be 6 miles off but you said they may get pushed back a buffer of 200. 00 yes but its also forget if it is only 32 miles between the u. K. And wrong because youre not a clue theres going to be nautical miles yeah but theres going to be actually theres going to be a border median border that will still be pushed back so those french vessels wont be able to cross that median line and some of that is catastrophic to some of the coastal fishing communities with the fisheries for a 2nd i thought i would spend the whole time on this but we actually said that they are going to go is this the number one bargaining chip. In this trade negotiation not the number one of but its the one its probably the greatest one with the greatest amount of disparity yes brant and actually i want you to the u. K. I mean its 180000 jobs i mean its important to those communities and i was in the u. K. And its important but i mean its not the lifeblood of the of the u. K. So thats why its so powerful for the u. K. Because it is so dependent for the e. U. I would say its the greatest point of leverage. To go back to some of these other situations there was judicial corporate cooperation as well as governance and thats really all just comes down to leaving the u. K. And basically what youre having is youre having this issue of what the u. K. Wants is to robot rules and regulations and what theyre trying to do with the e. U. Is theyre trying to reimpose it right is the whole reason for leaving that the u. K. Wants independence and control and these the waters of really what it is is it sort of like a i would say its an example of the principle and its a little example for the u. K. Huge for the e. U. Thats why the u. K. Is in a better negotiating stance yeah i mean when you look at Everything Else aside from the fisheries and Everything Else so theres a list you know the governance of the judicial situation and then the socalled level Playing Field the concern that britain my diverge as you said from the rules in the regulations and this is the e. U. The whole point you gave the competitive advantage why wouldnt they want to go well thats why you know yes ill Say Something that i said once before actually and that is that this is like a cult or a club where you cannot let people leave and have a better deal because there are people want to leave. The germans i remember german manufacturers ive said this before one out of 7 german cars goes into the u. K. So the german manufacturers all of them are putting pressure on ankle markel because she has to do a great deal because what are they going to stop trading they want to trade with the u. K. Absolutely the e. U. Also known as hotel california. Were going with the British American business as usual thank you pleasure pleasure. Computer maker h. P. On thursday once again rejected a takeover offer from xerox worth roughly 35000000000. 00 claiming that the bid undervalues its business in february xerox upped its offer by 2. 00 per to 24 dollars per share its a big jump after previous attempts were declined for the same reasons h. P. On thursday requested shareholders reject the offer saying that it would benefit xerox shareholders more than those invested in h. P. Following xeroxes latest bid h. P. Said they would institute a plan to stop investors from collecting more than 20 percent stake in the company and an effort to avoid a hostile takeover xerox Stock Plunged more than 6 percent on the news meanwhile h. P. Stock dropped by just over one percent but well below the declines that were seeing overall in the market on thursday. And finally in ny and take the developer behind the wildly popular mobile game pokemon go has officially announced the launch of season one of the go Battle League now for those not familiar with pokemon go players traverse the real world with their phones in hopes of catching mythical creatures called pokemon i just want to let you know thats a surface level explanation of the go Battle League will allow players known as trainers to pair up against similarly ranked opponents from around the world to battle it out players will work their way through the ranks and as they reach higher points on the leaderboard they earn greater rewards now the game was released in 2016 but is still a mentally popular recent estimates say that it has nearly 150000000. 00 monthly active users worldwide and the company rakes in more than 100000000. 00 a month off the free to play game the go Battle League will officially launch on the 13th of march 100000000. 00 a month for a game that allows you to walk on other peoples lawns. And its really all that 100000000. 00 allowing players to do is play the game or its just buying. Tools to be able to play more i do love how you preface that this was a very surface level description of the intensity and the depth of pokemon well as a gamer sometimes i get criticized because theyre a guy who doesnt know anything and im like no i only have so much time to explain. So i bet youre just letting people know you know more about pokemon go than this venue yes. That we can agree thats it for this night you can catch a boom bust on demand on the brand new portable t. V. App available on smartphones to google play and the Apple App Store by searching not with your pokemon go searching on your device portable t. V. You also stream us to your t. V. By downloading the portable t. V. Ads on apple t. V. And online at portable t. V. You can also find our coronavirus tracker on the portable t. V. App where you can get the latest information about the spread of the virus that as always checks out on you tube you tube dot com slash boom bust r. T. See you next time. Why do we go to war because we view the key to Economic Growth as oil and energy we go to war is Vice President cheney said for the oil thats why they invaded iraq for the oil thats why trump says the one thing we want syria we really dont want to go to war with russia we want to just control the oil. And the gas lines and the pipelines through afghanistan so the military is really an extension of controlling of world energy and oil. Joined me every thursday on the alex simon show and ill be speaking to us of the world of politics sports business im show business ill see you then. Just a 9 pm here in moscow in their 1st polls karmas several countries with this away from. The shop are stocking up on essential in anticipation for words think over 19 epidemic plus. You dont have to tell the people. Because just. Led to shops the scheme. The e. U. Accuses turkey of weaponized thing those refugee flows as the plot bolster security at the greek border leaving tens of thousands of migrants stuck in no mans land. And too will supply as confront the worlds chemical weapons watchdog demanding a fair hearing after