Treasury Secretary Steven Mnuchin announces via Twitter the IRS has delayed the deadline for tax filing to July 15th. However, anyone expecting a refund should file asap for obvious reasons.
Former White House Council of Economic Advisers Chairman Kevin Hassett is returning to the administration as a senior economic advisor to President Trump during the COVID-19 response.
Kevin Hassett is very sharp and a happy warrior by disposition. Hassett was excellent as CEA Chair and no doubt his rejoining the economic team with an advisory position to President Trump will bring a great voice back to the crew.
If Mitt Romney and Hillary Clinton had a child, it would be Nikki Haley. Ms. Haley and her paid staff of political wind-testers, are constantly scanning the horizon for optics and issues that might upend her aspirations to the presidency. Today she quits the board of Boeing after the likelihood of a government bailout starts to rise….
(Via CNBC) Former U.N. Ambassador Nikki Haley stepped down from Boeing’s board of directors after less than a year because she opposes government aid to help the aircraft manufacturer weather the coronavirus crisis, the company said Thursday.
Boeing earlier this week said it is seeking $60 billion in government aid for itself and its massive supply chain because of the virus. The manufacturer’s suppliers include United Technologies, General Electric, Spirit Aerosystems and dozens of others. The administration hasn’t yet said what Boeing, a top U.S. military contractor could receive.
President Donald Trump this week threw his support behind the manufacturer, saying: “We have to protect Boeing.”
We are entering into phase-3 of the supply-chain distribution shortages within the retail food sector. Phase-1 was immediate impact. Phase-2 was the spread to the warehouse and distribution. Phase-3 impacts are further upstream, processing & suppliers.
The current shelf-stock shortages are not soon to reconcile; however, the shortages are still in the regional phase. Meaning there is a big difference in the availability of products depending on the type of distribution network, and the specific retailers, in your area.
The ‘spider-spread effect’ happens when large metropolitan chains, serving large urban and megalopolis areas (1 million+ residents in 50 mile radius), reach a critical shortage in their supply network; and those residents then drive distances to locate their needs. This is going on now across the country as regional supply chains try to keep up with demand.
Most consumers are not aware food consumption in the U.S. is now a 50/50 proposition. Approximately 50% of all food was consumed “outside the home” (or food away from home), and 50% of all food consumed was food “inside the home” (grocery shoppers).
Treasury Secretary Steven Mnuchin called-in to Maria Bartiromo earlier today to discuss the overall financial approach of the Trump administration to the COVID-19 impacts.
Mnuchin has been working closely with House and Senate political leadership to structure the financial flow needed for particular sectors and workers inside the Main St economy. The target date for legislation directing the financial relief is early next week.
The underlying economy is strong. The treasury response is targeted to those who need short-term relief. Short-term economic indicators are no longer valid.
Posted in Bailouts, Budget, CDC, Coronavirus, Dem Hypocrisy, Donald Trump, Economy, Legislation, media bias, President Trump, Taxes, Uncategorized, US Treasury, USA
…there had to be a point where the value of the Wall St economy surpassed the value of the Main St economy… Part I Here
We now look forward, and consider the question: How would the multinational underwriters, the multinational financial systems, reset all transactional tables (the bookkeeping systems underneath the valuation) if the U.S. stock market was ever forced to re-value economic nationalism over multinational globalism?
To first answer the “how” question, we must visit the “why” question. Why would the multinational financial underwriters want to reset their valuations?
Obviously, the global financial system does not act altruistically. What would motivate the global wealth valuation authority (various market investment indexes) to want, or need, a reset.
The answer to the “why” question might not be as challenging as it appears.
First, there has been a seismic shift in how the world looks at the economic exploitation of multinational systems, or globalism. See Bernie Sanders? See those yellow vests in France? See what happened with the U.K. Brexit referendum? See the shrinking EU influence? See the open/public confrontation and push-back against China? See Trump? All examples are consequences of the rise of economic nationalism.
Secondly, the original Wall Street corporate motive (during decades of mergers and acquisitions) to shift product manufacturing to Southeast Asia (ASEAN nations) was driven by a lower cost of overall business, higher profit margins and greed.
As a direct outcome economic wealth was shifted from the U.S. to ASEAN nations, and particularly China. Low wages, low regulation, cheap operational costs, incentives and subsidies from Asia equals cheap TV’s, sneakers, furniture and durable goods.
Even with high fuel prices and overseas shipping costs, there was a big difference between U.S. and ASEAN manufacturing costs. As hundreds of U.S. Wall Street multinationals chased profits the rust-belt was created.
Posted in ASEAN, Bailouts, Big Government, China, Decepticons, Deep State, Donald Trump, Economy, Election 2020, energy, European Union, Legislation, media bias, NAFTA, President Trump, Taxes, Trade Deal, Travel, Uncategorized, United Kingdom (UK) and Great Britain, US dept of agriculture, US Treasury, USA, USMCA
A very big picture discussion requires a considerable baseline.
The stock market is not the U.S. economy; the stock market is an investment instrument that determines valuations of economic activity company by company. The valuation is considerably arbitrary, based on the determinations of the arbiters (investors). This is empirically true.
However, that said, how would the multinational underwriters, the multinational financial systems, reset all transactional tables (the bookkeeping systems underneath the valuation) …if the U.S. stock market was every forced to re-value economic nationalism over multinational globalism? Enter “Coronavirus”.
Four years ago CTH first explained a new way to look at the U.S. economic system and how Main Street was/is disconnected from Wall Street. We presented a metaphor to explain. Before going deeper into the discussion of tomorrow; and at the request of several people who now accept the era of “deglobalization” is upon us, I first present that prior reference & then will use this as the baseline to describe what could come next.
There is a key phrase at the fulcrum of everything past:
…there had to be a point where the value of the second economy (Wall Street) surpassed the value of the first economy (Main Street).
What we are going to outline in part II is the possibility what happens when this natural truism is reversed. The objective is to answer: How, specifically would Wall Street reset its evaluative systems if Main Street once again emerged as the priority?
But first, a baseline revisit is needed.
Posted in ASEAN, Auto Sector, Bailouts, Big Government, Budget, Canada, China, Coronavirus, Decepticons, Deep State, Donald Trump, Economy, Election 2020, European Union, History, Hong Kong, India, Legislation, NAFTA, President Trump, Taxes, Trade Deal, Uncategorized, US dept of agriculture, US Treasury, USA, USMCA
White House trade adviser Peter Navarro outlines some of the ongoing supply chain initiatives to meet ongoing demands of the corovirus effort. Navarro highlights the cooperation between US government and private enterprise. WATCH:
Earlier today President Trump met with executives from the U.S. tourism industry to discuss how their operation are impacted by the various COVID-19 mitigation efforts.
Participants included: Roger Dow, President & CEO, Travel Association; Chip Rogers, President & CEO, American Hotel & Lodging Association (AHLA); Jon Bortz, President and CEO, Pebblebrook Hotel Trust and AHLA Chairman; Elie Maalouf, President, The Americas, Intercontinental Hotels Group (IHG); Christopher Nassetta, President & CEO, Hilton; Arne Sorenson, President & CEO, Marriott International; Richard Bates, EVP, Disney; Mark Hoplamazian, President & CEO, Hyatt Hotels Corporation; John Sprouls, Chief Administrative Officer, Universal Parks and Resorts; Patrick Pacious, President and CEO, Choice Hotels International; David Kong, CEO, Best Western Hotels and Resorts; Jim Murren, President & CEO, MGM [Video and Transcript Below]
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[Transcript] – THE PRESIDENT: Well, thank you very much. We have the tourism industry executives, the biggest anywhere in the world. These are the great ones, and they’re going to say a couple of little words pretty soon, I think. We’ll talk about their company quickly and the number of employees and what’s happened since the Chinese virus came about. And they’ll be discussing that.
President Trump, Vice-President Pence and Treasury Secretary Steven Mnuchin lead the daily coronavirus briefing on COVID-19 mitigation efforts from the White House.
[Video Below – Transcript Added]
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[Transcript] – THE PRESIDENT: Thank you very much, everyone. Thank you. Progress being made. And I appreciate you all joining us.
Last night, the FDA announced groundbreaking new policies to further increase testing very substantially so. All states can now authorize tests developed and used within their borders, in addition to the FDA. So the states are very much involved. They have been involved from the beginning. But we’re stepping it up as much as we can, and the testing procedures are going well.