This is boom bust the one business show you cant afford to miss unfair montecito in washington coming up the rate in new unemployment claims may be leveling off but congress and the white house look to be stocked yet again on a stimulus plan to continue to rise across the globe due to the pandemic swine flu and unpredictable weather will tell you what this could mean for those who are already struggling to get enough to eat we have a lot to get to the law that starts. We begin today with jobless claims as u. S. Unemployment fell just slightly for the week ending on october 3rd to a fresh pandemic low the u. S. Labor department reported initial jobless. 840000 worse than expected showing the labor market is still experiencing a slow recovery while the economy is still growing its been a gradual comeback as concerns rise over another wave of layoffs without another federal relief package still some 25500000 americans are collecting some sort of benefits so for more on this and the overall state of the economy and markets we bring in boom bust cohost christy i t o a pentode portfolio strategies michael pentode michael lets start with you unemployment claims they remain high and came in worse than expected 840000 americans filed for these jobless claims and on top of that the number of people who have been laid off permanently is a growing how long before we can get to precode levels again. Thats a great question i guess a lot of the bands on the virus and the staircase that are coming out and whos going to take a vaccine that was developed at hyper warp drive anyway my hope a vaccine works these are going to be long but reused ursulines and take it like seeing that was developed in months when it usually takes years but listen theres 4000000 people who are currently unemployed thats how they classify themselves were Still Limited 1000000 jobs eloped 3 pandemic levels and if you are here until theres a 100000 businesses that have permanently closed their doors so unfortunately its going to be at least 2 years were getting back to we were and by the way thats if you believe the Prescription Drug bill. And is liable economy comes from all rolling trillions upon trillions of dollars in truth you know all right the number were looking at still its lower than a 1000000 that we were seeing at the beginning of a pandemic but its still pretty high its just over 800000 still closer to a 1000000. Why ringback are we still losing 840000 people i mean were supposed to be underwhelming route to recovery by the way if you look at continuing claims including and. Unemployment assistance were 20000000 people there are still seeking dont. And this should not be the case were an economy that is supposedly in a violent recovery just not james well its definitely not the case christine meanwhile after pulling the plug on stimulus negotiations the Airline Industry is looking for a 2nd bailout the Hotel Industry is looking for stimulus as well and President Trump he recently revealed that 13000000000. 00 farm bailout is their hope that these little sector specific stopgaps will even be enough. I dont think anyone thinks that these stopgaps are enough and frankly its a big waste of everybodys money and time because the situation that were in is kind of like pushing a joint or miss boulder up the hill you exotic keep on exerting force the entire way up and you get somewhat up but the moment you let go it just continues rolling back out again and were in the same situation so these little stop gap are far from enough and its actually a waste if theres no follow through action to actually get the entire way back to recovery so the market today is once again got a little overoptimistic that there could be potential stimulus plan but the lawmakers continue arguing we just heard from palosi that she is not supporting these little stopgap measures and these little quick cash injection its definitely not going to be enough for the Airline Sector because what is it actually going to do just tie it over for another 6 months but then after that were going to be in the exact same situation in the exact same boat once again because the the main problem is that demand hasnt recovered yet so these small targeted bills they wont really do anything it will only create the illusion of work and progress that something is getting done in negotiation but the reality is that this is going to be a significant negative for the economy so therell be a lot of stress for those who are not going to get the funds so the logic behind these very specific bailout is really flawed when it comes to the Bigger Picture its interesting is to say that these these markets are reacting to the hope of the stimulus when we just heard nancy pelosi i want to play you a clip of what she said earlier today that she wont support a standalone relief bill without a bigger bill take a listen i have been very open to having a standalone bill for the airlines or part of a bigger bill but there is no standalone bill without a bigger bill and some of these issues we have come to some area of agreement but some of them we have not but they have walked away from the whole package nothing is agreed to until everything is agreed to thats the way it always is. So its all or nothing here michael you heard what christine just said do you think there is any possibility now for more stimulus especially in the in the coming weeks is there there could be a standalone bill but there cant be a standalone bill is for the bigger banks i mean im confused i dont know i dont know if you got that straight but im confused lets say you know the chance that this is a very big stimulus bill being passed as americans are heading off to the polls by nancy pelosi is almost no she does not want to see donald trump signature on 1200. 00 stimulus checks again and find the real objects richies again as theyre hearing a lot of holes its just its just not going to happen there i guess if you can you know imagine maybe there is a stand alone bill for an airline but you know a lot of this reminds me of. The member of the big trade deal that we were handed you dont negotiate you dont want to loan you know you know there was a good if you trade deal waters it was rally and then trump says you know were holding all were like oh sure hes going to china and all American Business should be let in china and then theyre in the market tank the rally because oh i didnt really mean that trump said you know were really to go shooting at the other day we got a big gigantic i mean deal and the chinese are even filling their obligations so i mean i expect the same thing from the trade deal as were getting from this you know negotiation and guess what the deficit with china is greater than it was greater today than it ever was in history well and its over 5 months of these negotiations that theyve been going on this back and forth they were so quick to make to put out a stimulus really fell back and may or months ago and now this is just a lot of back and forth meanwhile the American Public theyre struggling christine the market seems to still be green despite the fact that theres now the increasing chance that no broad based help will leave it happen before the november election and weeks away how is q 4 going to turn out as washington leaders are start an impasse. Well basically i think the recovery that has kind of lived by stimulus is now just going to die by stimulus or the lack there of the market is still rising on the misguided optimism that there is work and theres progress continuing that some sort of skinny deal might get passed before election but even so that will not be enough because billions of dollars as mike just said are based siphoned out of the economy due to this lowered jobless ben benefits and were going to see thousands of business closures in the coming months and probably the worst Holiday Retail season in over 12 years so its going to be difficult to put into exact numbers how big this impact is going to be but were definitely going to start seeing the facts of the lack of stimulus within the coming months this 26500000 people receiving some sort of Unemployment Benefits theyre going to be seeing a reduction of that thats going to translate to about 15000000000. 00 a week in disposable income so without that strong middle Class Consumer that has been basically propping up the economy since 2018 were going to see a really bad q 4 michael i want to get this last question in before we go a recent paper published by senior fed economist and Deputy Director of the banks Financial Stability division kiley said that the fed will need to monetize deficit equal to 30 percent of g. D. P. Or 6. 00 trillion dollars now the fed has already purchased a record 3 trillion dollars in bonds in march that basically means another 3. 5 trillion is needed those are some insane numbers were looking at here are we just now caught in this vicious cycle where more and more stimulus is needed to avoid a complete collapse. Yes. I think thats the case the National Debt is now clinched 27. 00 trillion dollars deficit is just going to be down to 23. 00 trillion dollars all dues monetized reserve should be 0 says or what the deficits dont you know the next gen years will be 1. 00 trillion dollars all that has to be monetized about Federal Reserve and if you think youre going to build a viable. Why or when youre drifting not just america or the developed world its not just americans we are being told to get the developed world is being held together by rubber bands and. Or efficiently lowered Interest Rates by the way the only thing i remember is you dont remember if i say today the only thing is holding your face low is the fact that they can get away with a lot of that there is no inflation once the sheep there are goals we really start getting in trying to building in this hole or the sure it is. Well especially it with more stimulus and there will be a road to a longer recovery interesting after the chairman is saying that dont theres no risk in overdoing it it doesnt seem like thats the case 5 tools they want to use and will follow it up and see what other tools are going to bring about in the next couple of months boom bust cohost christine and michael pentode president and founder of strategies thank you both so much for breaking this down for us. Investment banker Morgan Stanley announced it will acquire asset manager vans for about 7000000. 00 in a cash and stock deal 38 percent premium this goes along with Morgan Stanleys plan to double the size of its Asset Management unit c. E. O. James gorman said Asset Management has been on song hero inside camp Morgan Stanley we felt it was in a position to do something and that this was a Natural Evolution the news comes one week after Morgan Stanley completed its 13000000000. 00 acquisition of e. Trade on thursday vance shares soared to 48 percent on the news while Morgan Stanley rose 1 point one percent the deal is expected to be completed and 2nd quarter of 2021. According to china of the corona virus has all but disappeared in that country however another issue that could lead to catastrophe has emerged food scarcity while china is trying to face the problem head on the danger. Far beyond its borders the art. Dorie its a ritual that can be found most anywhere around the globe. Family and friends sitting down to share a meal although corona virus may have cut down the social aspect of dinner in many parts of the world in china the middle itself has also been chopped beijing is in the midst of a Clean Plate Campaign while people are being told to finish their dinners and not to waste any food some restaurants in china have gone so far as to dish out how servings from cutting down on portions to saving leftovers for later the people of china are being told not to waste a single ounce of food while people seem to be cheerfully going along with the agenda a harsh reality looms Food Supplies are down and prices are up 13 percent year over year to be exact there are number of factors at play the nation has been hit hard by the african swine flu which emerged in china in 2018 cutting its pig herd in half millions of pigs have died or been called due to the virus a popular source of protein has soared in price in china by 135 percent since february floods and droughts in the country have also affected Food Supplies making china more reliant on imports from places like the u. S. And australia both countries that currently have tense relations with beijing and of course theres coal the 19 the virus has disrupted food chain supplies around the world bringing us to the fact that when it comes to food scarcity china is not alone through shortages are affecting countries globally rich and poor alike all around the world food prices have gone up in the past 12 months due to the corona virus pandemic. In the us that equates to a 4 percent rise in the cost of food during that period it is also reported that in the United States now 1. 00 in 5 families do not have enough to eat a fact pronounced by growing lines up to banks around the country on the other end of the spectrum or poor nations with ones experiencing by a once being the most in danger in many places the pandemic coupled with conflict and disruption is the only county clean bows to Food Security millions of people in the democratic republic of the comal northeast nigeria so sudan as well as yemen face the risk of femi Environmental Issues diseases including a pandemic war and even pestilence are all contributing to Food Shortages around the globe although china seems to be trying to do something about it the issue needs a Global Solution and according to some if we dont tackle the problem together now not too far down the road it might be too late the threat of them of famine is looming again so we have to step up and not step back and quite frankly 2021 will be a make or break year for boom bust im alex behind the fish. Prime now for a quick break but hang here because when we return new accusations against huawei have some british lawmakers are going to see a ban on the company the appointment of break down the allegations and tell you which competitor may have the most to gain as we go to break here the numbers after the fire. Was. I make no certain you know blood is just blood into nationalities. You. Know so much the we dont actually know the whole world to. Judge a. Comedy crisis was listening to my times we can do better we should. Everyone is contributing each or own way but we also know that this crisis will not go on forever the challenges created with the response has been so many good people are helping us. It makes us feel very proud that were in it together. Theres a threshold at which. Big tobacco realised what they were doing and that they continue to do it they continued to put more and more things into cigarettes that made them more addictive and made me want to smoke more of them in the point im trying to make is that social media in particular these artificially intelligent algorithms are doing the same thing. As the u. S. Economy was booming growing numbers of people. You can work 40 hours in a week and still not have enough to get housing everybody believes america still is the land of opportunity the reality of it is that were not financially quantity and im not going to be counting on living minimum wage many people know. Theres been a problem with the city. Limits on an older stay where i dont notice. The food that there is no answer because yes that requires resources. To vulnerable or abandoned on the streets to become invisible comes. A new report out of the u. K. Claims that british authorities have found clear evidence of collusion between Telecom Company wall way and the Chinese Government and light of this testimony the British ParliamentDefense Committee has called for an accelerated removal of wa is equipment from the countrys 5 g. Network so lets get details on what is happening and bring in a bill thats cohost and. Juan and Jeffrey Tucker of the American Institute for Economic Research than lets start with you give us a rundown of what this Committee Says it found. So this whole talk about evidence that they found proof they found is that really theyre essentially what they have is a bunch of Telecom Insiders venture capitalists who came in testified before this committee and essentially what they said was we know that the Chinese Government has given money to walk away in order to build it up one venture capitalist said that over the course of about 3 years of the Chinese Government put about 75000000000 dollars into wa wait now does he know this for sure he claims that he does but lets say that its true 75000000000. 00 has been poured into weiwei he says in order to be able for that company to sell its technology at an incredibly low price point which is the law. Had to kind of outbid its competitors ok that can be an accusation in and of itself but heres the problem sara is that that accusation has nothing to do with the accusation that is supposedly keeping while way from being able to do business and build out 5 g. In the u. K. And in the us and that accusation i would remind viewers is one that the Chinese Government has back doors built into the way systems that allow them to access data on the people who are using that equipment and on governments as well the fact the Chinese Government may or may not and im sure they are i have no doubt that they are at some level putting money into what way does not necessarily mean that they have a Technological Access to be able to compromise that equipment that is the claim that has been made but we still to this day have seen no evidence of that claim then it sounds a lot like something weve talked about this time time again like something we heard back in february when u. S. Officials also came out and said that they had evidence as well to report that while we did have back doors and that they were a National Security. National Security Threat however we never saw any of that data we didnt see the report they didnt really prove it even if they had it which they could have but they didnt come out and they werent transparent about it jeffrey why executives they werent allowed to testify before the committee is this just an example of where the investigative body then just starts with this conclusion and kind of works the their way into to make the evidence fit. Its clearly a political attack and thank you ben for laying that out so carefully and precisely this is a new front and a war against this company thats been going on in the basically the us is trying to shut down while away and i cant believe those words actually came out of my mouth because its from my perspective a complete disgrace for the u. S. To be doing this this is you know that while it was like a star company and the new Free Enterprise oriented china and a real wonderful american Style Company and the u. S. Thinks that theyre just going to wreck this digital iron wall all over the world thats us in the u. K. Now apparently and yes as a brand new front you know on the on the matter of back doors yes theres never been any evidence but i just want to add here that for 20 years the u. S. Governments been trying to create back tourists our. American technology to include that struggle continues today as for industrial subsidies i mean between really were talking about industrial subsidies i mean u. S. Is as the pioneer in that respect and it was it was it was trump himself that you know upped u. S. Agriculture subsidies and just a year ago it been forcing china to buy all of our wildly overproduced grains soy and corn and so on so i mean its just an incredible thing to see while we accused of all this the sins of the wrong way and the Chinese Government accused of all the sense of rich u. K. In the us are are the prime examples of committing those various sins around the world so yeah this is the duplicitous and very strange and probably ultimately protectionist attack on and on a great Global Company that we should be cooperate with right that they are leading in 5 g. Development weve known this and repeated this time and time again i just wish that again if they actually had the evidence both now the u. K. And the United States they came forward and showed it to us and thats really the key. Then on a separate inquiry by the British Parliaments Defense Committee and to u. K. Tidy security published there is a its about a 2027 timeline term move here from networks is sensible but at 2025 time i could be considered under specific circumstances yet so the goal here is just a push of the time and thats what this entire hearing was about this entire subcommittee investigation which i would have air quotes around investigation because its not a real investigation you brought in a bunch of really nonscientific people to log new 2 accusations against weiwei so that you could push of the timeline of removing that what we technology again from existing Telecom Operations but i want to remind people of this you know i dont i dont doubt huawei on some level is probably compromising our data i dont doubt that at all the problem is that so example so is samsung so is every entry operating system in every phone out there and so my problem is the lack of consistency when you are in the Us Government and you say we must protect data theyre not saying that theyre saying we must protect you from wild way while letting you fall susceptible to Big Tech Companies that compromise your data every day and by the way the u. K. Australia and the United States all of them wanting to move to the Lesser Companies in terms of the leading the way on 5 g. Nokia and ericsson i would remind viewers that both of those companies are co oh and by National Governments those are not even private companies they actually have on their books National Governments owning big large chunks of those companies so while we may have funding from the chinese and i dont doubt that the chinese would probably compromise data so is everyone else so either we clean it all up or we dont pick out one company and say that one company is wrong what everyone else is right for doing the same and the United States its like being our im washing my hands here and its ok for us because we are your government so please trust us but its not ok for china to do it jeffery. The reality of the pushback against wa is when one company is held down others actually grow we were seeing that now samsung said thursday its 3rd quarter profit likely jumped 58 percent to more than 10000000000 dollars this is the highest in 2 years as u. S. Restrictions on chinas weiwei boosted the south korean attack giants phone and even chip sales isnt this idea of holding one company back while others grow completely contradictory to free market principles. There are always winners and losers with every kind of a government attack on the free market to start done on behalf of National Security or much less your rights to your property and bins exactly right i mean americans have every reason to be extremely worried about their compromised data which we are actually really see it happening all the time as it was google in the us at Tech Companies which i could tell you one way is not a threat i mean if any of the like i mentioned before i had a lot of friends of mine who had already bought weiwei phones because they have a reputation for being more secure than then anything else available on the us market but now theyre being deliberately attacked this is contrary to every principle that america is supposed to stand for and i tell you as an american there is nothing more chilling than to turn on the television and see Chinese Communist government officials. Proclaiming the glories of Free Enterprise sincerely and with a look of of horror on their faces that this is this is happening they went slow Free Enterprise of free trade and innovation the who attacks them but with the us which was once the the model for the world in individual initiative and Human Flourishing and and tech not Technological Development no more well it doesnt look like this will be going away anytime soon so were going to continue the conversation Jeffrey Tucker of the American Institute for Economic Research the west coast offense on thank you both for breaking it down for us. As weve quickly transition. And to zoom and other video calls for morning meetings or a school g. P. U. Maker in a video says their new technology can fix some of their biggest bugs using the new invidia maxime platform users can use powerful graphics processor is on these clouds in order to boost call quality fix your gaze cancel noise and they even provide live subtitled translations on top of that it reduces the ban with needed for those of us with spotty wife i connection so at this point you cant by yourself but look to see if Major Players in the Communications World take advantage of this technology. Thats all for now catch him bust on demand on the portable t. V. s available for your apple and Android Devices or simply check out a portable dot t. V. Well see you next time. With election day looming its important to. Change the g. O. P. Is there such a thing as trump is the political establishment understand why the bucket in the 1st place. Right. For my guide to financial survival this is. A device used by professional scallywags to earn money. Thats right. Not accountable and were just adding more and more to the. Totally destabilize the Global Economy you need to protect yourself and get in for kaiser. News armenia and azerbaijan come together for talks in moscow following the call to end hostilities over nagornokarabakh. The meeting comes as shelling destroys an historic a seat in the disputed region civilian losses are growing with journalists and sort of the line of fire we have for mothers whose sons are fighting on the front lines. We all have kids serving i can show my emotions in church only i feel that i havent slept properly since september 27th as the soldiers mother and as a citizen of this there is i myself am on the front line. On the french president s plan to clamp down on radical islam threatens to teach him a lesson off the outrage over his idea to teach arabic lessons in schools