Transcripts For RT Boom Bust 20240712

This is boom bust the one business show you cant afford to miss. In washington coming up extra Unemployment Benefits are running out for millions of american congressional negotiations stalled for the next relief bill and we take a look at the hard hit Restaurant Industry to see how workers and Small Business owners are hoping to shut down for now limited capacity we have a lot to get to so lets get started. A looming deadline for democrats and republicans as unemployment aid expires admin night on friday while the Senate Republicans want to decrease those 600. 00 per week to 200. 00 but democrats that will theyre not settling for less parties are clashing on several sides including Liability Protections for businesses and schools and funding for state and local government now this comes as applications for Unemployment Benefits increased for the 2nd. Straight week in the week ending on july 18th the number of people receiving those jobless aid well they increased by 867000 bringing that total to 17000000 americans earlier this week Senate Republicans released in nearly one trillion dollar relief package of their own this was to counter the 3 trillion dollars package that the House Democrats passed back in may talks are scheduled to resume through the weekend but a deal still seems pretty far from sight. Commodities in crypto markets are heating up around the world as traditional equity markets take a breather from their epic rally last quarter well it seems like we are seeing a big asset rotation coming on in the us cohost. Christi chinese regulators theyre rushing to curb Precious Metals trading in order to temper speculation how dangerous is this for or the speculative market while this could be very dangerous especially when you take into account the huge middle Class Population is especially in a country like china weve seen this before and there was widespread market from a previously which created bubbles we had the tech bubble we had an i. P. O. Bubble we had a crypto bubble and this is bad because bubbles tend to burst and they leave disaster behind burning a lot of careless investors who really didnt know any better so this mad scramble this time comes as gold prices hit a record high spurred by what investors hunting for safe haven and also speculators feeling film of seeing these soaring prices and feeling like theyre missing out the i. C. C. Is now barring its climb from opening a new training accounts for politi and platinum basically all Precious Metals and this is to control risk and price volatility now gold e. T. F. In china they have trained turn over in recent weeks with a lot of regulators who are mindful of these recessions so soon after aprils Oil Speculation drove prices to negative 37. 00 per barrel a lot of gold buying happening going on right now as it is these investors are turning to to other assets but china its now aiming to. Become the worlds dominant boxing power through a state backed block chain Infrastructure Project so this has significant 1st mover advantage but also theres a lot of risk here break it down for us you know so the 2 assets that a lot of people are turning for for safe haven is basically gold and watch and specially things like bitcoin but this is completely different than because this is called the block chain based Service Network or b. S. And for short it aims to become the dominant Internet Services provider for all of these centralized apps known as datz so there is significant risk here given the growing tensions between the u. S. And china b. S. N. Is essentially a Chinese State sanctioned project but the technology is actually backed and supported by u. S. Companies such as and is on microsoft and google all our Major Cloud Service Providers of this p. C. N. Network so you can kind of see where were going with this already like last year all of the semis they all got whacked when the Trump Administration decided to not allowed sales to blacklist a Chinese Company and to allow for u. S. Technologies within these Chinese Companies so now this could very much play out the same way so china is trying to grab the lead and block change and dominate this entire space fairly similar to what they do with 5 g. But that will put the b. S. N. Further into the spotlight of the u. S. China tech war and there is a real risk that technology does not present a National Security risk but they will nonetheless be banned simply because of political reasons well kristie lets turn to block chain ether its about 50 percent and its 5 Year Anniversary month whats behind that rally. Well this was quite a month for the entire crypto space especially for a theory and so we always like to talk about bitcoin here but theory in 2. 0 and the entire defined network is actually whats driving this entire space and this entire rally is over the month so 1st we had the anticipation of the market towards the east 2. 00 basically incentivizes users to participate in a theory as the switches to a proof of stake consensus so the p. O. s algorithm would eventually eliminate all minors from the theory and primarily in order to optimize and also make the network work a lot faster so the final test now for a 2. 0 is expected to launch very soon in august and then we also have the explosive growth of the entire defined network on the back of yield farmy so several major defy providers they have emerged such as compound lend curve except for a and as we mentioned the total defy market is now almost 4000000000. 00 in a mere 2 months so you can kind of call that a bubble as well so there is a ton of traction behind 8th right now you can also see that in the futures market as open interest climbed to a record high in july and with each 2. 0 it rewards users for staking their corn so likely youll start to see a really good stable base of hodler is and use those which will really help to stabilize prices and demand well kristie we have a little over a minute left a quick answer here but every time we see prices go up we see an increase in users jumping into crypto this time apparently is coming from russia how the landscape there yeah for years russia has flown a lot of hot and cold over crypto currency regulations all very much similar to china actually but now were seeing the 1st signs of another rally starting you see russian users joining exchanges such as paxil the new users have actually increased about 350 percent over the last 12 months in russia russia is reported to be of the largest p. D. P. Bitcoin Trading Market in the euro but a lot of training takes place on local bitcoin in peter peer with volumes about of about 32000000. 00 changing hands every month. So it seems like adoption is growing at pax while manager for the russian market said quote russia has always had a model of the Banking System that is dominated by a few players and the sentiment we get is that russians are increasingly looking to find alternative ways to grow their earnings and participate in the Financial Market looks like russia is also joining asia and the entire block in space well it definitely looks like theyre going to continue to do so given the state of the economy cohost christi i thank you thank you. Cove in 1000. 00 surges and many states have stalled restaurant reopening is adding yet another detrimental setback to the end a story thats been hit hard by the pandemic well its resulting in billions of dollars in losses both in the u. S. And across europe parties john he takes a deeper look at where the Restaurant Industry goes from here no matter where you live chances are one of your favorite restaurants has probably closed because of the cove in 1000 pandemic its head americas Restaurant Industry hard and the hits keep on coming the Consumer Research firm n p d Group Reported this week the u. S. Restaurant industry recovery has stalled with no improvement in transaction declines in 6 weeks adding quote major restaurant chain consumer transaction declines have been between negative 11 percent and negative 14 percent versus a year ago since the 2nd week of june compared to the steady improvement in declines from the last week in april through the 2nd week in june while the reopening is in some states that started in late may in early june helped recruit some of the financial losses rollbacks in those reopening is because of covert surges as it is history hard once again the National Restaurant Association Estimates that in total between march and june eating and drinking sales levels were down more than 116000000000. 00 from expected levels with a total shortfall of more than 145000000000. 00 during the 1st 4 months of the. And demick and just as the Restaurant Industry started to bounce back with 47400000000. 00 in sales in june compared to 30000000000. 00 in april several states started shutting down once again with california and new mexico among others banning Indoor Dining altogether the National Restaurant Association Reports that since the start of july 2020 roughly 100000 dining rooms have closed again because of these orders europes Restaurant Industry has also taken a hit much like the u. S. Restaurants from the u. K. To spain have to adhere to covert 1960 restrictions such as Outdoor Dining only limited capacity and earlier closing hours in the u. K. After almost 3 months of lockdown restaurants were allowed to reopen july 4th provided they adhere to strict hygiene conditions and while some diners started coming back sales were still down almost 50 percent a week later since then the numbers have reportedly started to gradually increase in france where the hospitality and Restaurant Industry plays a big part in the economy officials announced this week that the French Economy shrunk by 13. 8 percent during the lockdown pete i still assume Hotels Restaurants they were hit will frontal by this crisis lead a still the case today as im talking to you so they need more cash flow from early august on a whim and will put in place new loans guaranteed by the state oh it will go as high as 80 percent of the Sales Revenues of the hotels or restaurants ask for it until now the maximum of 25 percent from now the ones dont go as high as 80 percent of their revenue she flew to feel back in the u. S. Analysts say it could take years to recover from the economic hit as the nation cities and counties continue to assess the damage and try to recoup some of the costs through local state and federal funding in Miami Dade County officials announced a 35000000. 00 relief plan for miamis hard hit Hospitality Industry giving grants to restaurants and employees hit by the pandemic. One small step in the long road to recovery for boom bust john hoodie. For more were joined by new York Attorney and bar owner andrew much more andrew thank you so much for being with us today youre a Restaurant Owner yourself in brooklyn and your business is currently closed what is that recovery looking like for you. Only a few in brooklyn its called much more and while the bar and Restaurant Business is going to come back a little bit music venues simply dont exist as they used to. Well andrew these these rollbacks with all these rollbacks and reopening like like john mentioned in his package some restaurants have in the past refused to shut down some say theyre not actually going to and theyre making space for even more outside dining now that might change in places like new york when the weather wont allow for that does the law protect these businesses who choose to stay open. Which is getting so quite a bit but its a good solution for the summer but once we start getting into the winter months its going to be much more. Ok and 20 and 19 andrew now the Restaurant Industry in the United States i want to show you here it employed more than 13000000 people these are strong that are are open and are operating right now are actually at less capacity there they have much many less employees working there some jobs may not even be coming back are these jobs are they going to come back or are they are a lot of them gone forever. Many of them will not i just made it about a quarter of bars and restaurants probably will not reopen in new york with the high rents or some restaurants work or there simply isnt enough. Bandwidth for them to afford 34 months of 0 revenue and still having to pay rent so you get great deal will not come back. The the Paycheck Protection Program from the Small Business association theyve managed to offer some help but but the state of these loans are really uncertain if further action isnt taken at the Federal Reserve level than the p. P. P. Loans theyll sees on august 8th now this is pretty significant according to earlier predictions from the end dependent Restaurant Coalition around 85 percent of independent restaurants could go under by the end of the year what are the chances of these this new round of p. P. P. Funding and could we see just a major wipe out of restaurants that without the systems. It will depend on the specifics of the renewed bill but the existing paycheck im. Not seeing are to address is addressed many other trees many of them to close completely period of months and it covers payroll so if you have no period it really doesnt bother you but if its that period and even as bars and restaurants reopen but isnt the largest cost restaurants at least to new york rent is usually the largest cost and cost of goods sold so the amount of help that will drive it will be significant but i dont think will be enough to save a large number of businesses are we going to see a lot of these these small mom and pop shops restaurants essentially go out of business and more of these these big chain restaurants come in and take advantage of the cheap real estate. It gets to express the country but in new york. It will burst in restaurants you are more appreciative of local market i think which one survived and which ones are going to come down to if theyre really their landlords and whether their words will grant them right to be around them to make it through this difficult period well there are plenty of restaurants here in the Nations Capital too that are struggling and even chains that have been struggling like Cheesecake Factory much that they werent even able to pay their rent during the pandemic that was that new York Attorney and bar owner andrew much more thank you so much for making time to be with us today. Time now for a quick break but stay here because when we return sports leagues across the world are planned playing this is despite the pandemic but the money being made in the salvage seasons looks to be a fraction of what a normal year would be well discussed with our sports and now we go to break here the numbers of the clock. Coverage. Danny and by north its so many people because they call pregame you sure that even such a bad club you sending. Im not killed to plug the body of. Your to find the next guy. Looked up live again in the human being done the infernal to feed the dog she even dumped. The flick some for the c. E. O. Thing is the deflection board is comfortable saying. That is a god that that i got up to really answer for. 11. Years and others are going to going to hear a lot about that on the board a lot about that that you cant buy a gun thats a. Long long while the name. On the bottom theres a playlist ritual i would think not all. Under one person and later today 100 gandhi a new mold going to run the series 1st be really ignore you then go to mock you then they will join you. Markets are mixed on the week as the world keeps its side on these new spikes were seeing in corona virus cases as well as 2nd quarter u. S. Economic data lets start. In russia where the mo x. Its up for the week this is despite breaking a streak of about 10 consecutive days of gains earlier the week now the ruble rebounded after facing 2 month lows against the Us Dollar Oil prices are also propping things up as prices rose after a drop in u. S. Crude inventory lets move to asian markets the shanghai composite in the green and it actually rose on better than expected Factory Production in china the index gain nearly 11 percent in the month of july whose was its biggest gain since february of 2019 in hong kong the hang seng it slipped for the week eyes on Economic Data out of the us but there were some pretty bright spots as the tech sector saw some pretty big gains throughout the week the Overall Index posted back to back monthly gains for both june and july in japan the nikkei its actually down for the week soft bank dropped nearly 4 percent on friday alone shares of fujifilm saw a bump earlier this week u. S. President donald trump well he announced the company had been awarded a 265 1000000. 00 contract to manufacture a coronavirus exene in india the sensex also in the red this week after the indexes the best 2 months run since 2009 having gained about 16 percent since the end of may well next month is looking pretty rough as india faces its worst Economic Outlook in 40 years while the country tallies the 3rd highest number of coronavirus cases in the world its moved to the a. S. X. In australia which is also down for the week it actually fell more than 2 percent on friday alone the index really felt that us g. D. P. Drop the all shares in south africa are actually up for the week its posting its best month since 2017 that Mining Sector is really thriving now lets move to some european markets where all in the red this week. In london the footsie took a hit on that u. S. G. D. P. Data aviation and turns them stocks also one of those losses is the cove in 1000. 00 cases remain on the rise the french cac and the dax also followed similar suit the dax fell by nearly 3 percent and a half or going to half percent rather on thursday alone but both indices saw some gains on the final day of trading for the month at least on those big tech well moving across the atlantic over to brazil the evil best buy in the green this week the index touched its highest point in early 4 and a half months well its still trading about 13 percent off prepared on the numbers the index gained roughly 2. 5 percent this is despite having the 2nd highest number of covert 1000 cases worldwide in mexico the b. M. V. Is down for the week actually mexicos g. D. P. Fell by 17. 3 percent for the 2nd quarter compared to the prior 3 months that is felt by 18. 9 percent year over year that and the g. D. P. Drop in the u. S. Really weighed on Investor Sentiment here in the United States stocks are mixed the dow ended the week in the red the s. N. P. And the nasdaq finished in the green of course that 32. 00 g. D. P. Contraction its really hurting those markets but strong tiger earnings really did help prop up the markets by the end of the week although Google Parent Company off of it posted their 1st revenue decline ever now finishing things out in toronto where the ts sachs actually finished up this week or Oil Prices Fell on friday but expectations grew dimmer on a 2nd quarter g. D. P. Estimate and that is a Global Market walk. Sports teams around the world are expected to take a massive financial hit due to the coronavirus pandemic will leads like the n. B. A. And theyll be an n. H. L. Theyll face losses in the millions. Dollars from lack of attendance retirement and revenue from broadcasters arties americas future ham joins us to discuss regina welcome to the show thank you for having me now the m. B. A. They started playing again after almost 5 months that they took off what kind of Financial Issues are we looking at here so the bigger concern for them sara is its so exciting to see from a source of taxes that theyre back to see that yes were talking billions of dollars this is in an industry where youre just a couple 1000000. 00 off youre talking almost 1200000000. 00 couldve been lost about 40000000. 00 per team in the league had they not come back in july well the team did come back and they decide the league came back and so they are going to make use of that revenue but theyre not making review from hospitality which includes by fans buying tickets selling concessions at the game broadcasters to are also having to ask for money back because when youre having a sports thats televised like the n. B. A. The league does get a percentage of the money that is spent with broadcasters and when you have to lose half or 3rd your season that money is just gone so that also will affect the salary cap and that is tied to how much will he gets back theres a percentage that that affects so when youre talking the n. B. A. Youre seeing millions of dollars thats also going now into a product in florida it costs 150000000. 00 to put on the bubble in florida i mean youre saying at the grand floridian so of course theyre going to be a lot of money but youre going to see sports leagues like the n. B. A. They will make it through but youll see a lot of strategic cuts that could be downsizing of personnel that could be Television Deals that are smaller amounts so it really could be a big issue moving forward really like that with national exactly they dont have the money like the n. B. A. Were looking like much like you said for the n. B. A. 150000000. 00 to set that up isnt that much you know that thats a drop in the bucket when youre talking about overall revenue 1200000000. 00 and much like you mentioned a lot of the concessions here that they sell at these sporting events thats where they get. Their money without that and we know how much they charge in those places you know i mean you dont want to go to a game and not have gear on or buy something there i mean it really does really drive a lot of fans and demand and money when you see those those games so much like you said there fanatics are called fans for a reason i mean we see sports returning to the United States but we saw sports return to soccer specifically to europe a little bit ago its well under way and are they anticipating the same kind of issues with their financial backing they are it wont be as extreme but soccer in europe functions very different than soccer here there is relegation where if you have a horrible season you may be relegated to a division 2 division 3 of soccer will take legal where this is but i see barcelona they are going to experience a significant loss in about 3040000000. 00 of revenue just from fe and experiences alone throughout the league but theres nothing fans there i know the fans are not allowed to see as either which is why youre seeing that drop and if you take a look at this graph the premier league this is their the 1st bar right there the average over 5 years their majority is made of broadcasters they have had to cut from about april till now premier league games so that revenue that they would make from broadcasters is not there anymore so premier league is actually expected to take if they had never come back at all another 1000000000 pound hit which is about 1. 00 u. S. American dollars youre seeing leagues in the in england in germany in spain that are the top leagues they will be ok but when you get down to the lower leagues likely to league 3 youre not going to have that much revenue i want to touch on one more question before we were time that other parts of the world south korea theyve been playing baseball as well theyve made strides to welcome fans back right they had a say in dont ask theres only about 10 percent of fans but a lot of these leagues the elegy twins Samsung Lions are sponsored by l. G. And samsung so theyre not hurting necessarily for advertisements but a lot of them make their money from game day experience is about 147000. 00 u. S. Dollars per game per league our team is made in revenue sales in tickets well that accounts or so. 2 thirds of these teams budgets so the concern is if the k. B. R. Did not allow fans back they would actually start taking out loans to pay salaries for their staff so the fact that they are kind of are these places and anyway i mean you get literally around youve got you know theyre about they say about 1015000 people there not as big as them all the parks here but thats still a significant loss of revenue well especially for them when they need it as much as they do but im sure a lot of people here across the world and in the United States are really happy to have sports back i know i know a lot of people were bored there was nothing to do and were going to run out of content soon so the goodness of 1st sports leagues that was really going to help our team sports had a quarters regina thank you for being with us. Thats it for this time you can catch boom bust on demand on the brand new portable t. V. Which is available on smartphones and tablets through google play and the Apple App Store by searching portable t. V. Portal t. V. Can also be downloaded on newer models Samsung Smart t. V. s as well as wrote the devices simply check it out a portable dot t. V. See you next time. Coup detat the sudden forced and illegal takeover of a government by a small group. So rather than revolutionaries or soldiers could that small group the corporations when you have a tiny group of people who have all power you have to have some means to make sure the rest of us dont get together and take it back. These are sacrificed souls places that capitalism exploited and destroyed for profit and left behind misery poverty environmental devastation and so you see things like Voter Suppression building more prisons you seem gerrymandering all sorts of undemocratic practices for wealth in that world are well into the school and theres no question that the. Need to rant. Straight. Without yellow. Green. Orange. And white to a. Yellow. Even. If we really need to realize that we need each other. This hours headlines stories Donald Trumps a chinese video sharing up to talk is to be in the u. S. About says fellow republicans run by the rhetoric that beijing could use it to meddle in americas upcoming president ial election. The World Health Organization says corona virus is not a seasonal disease but rather is occurring as one big wave warns the fundament is continuing. People still you know loved. That it was somehow it go away and unfortunately thats not the case why you cant transmission anyway