tv Boom Bust RT April 10, 2018 5:30am-6:01am EDT
meanwhile on the currency front the ruble fell over three percent against the dollar today adding to a total four point five percent drop over three days and the russian sanctions story is now bumping up against the metals tariff saga russian aluminum manufacturer brew sol was among the twelve sanction russian companies who saw accounts for six percent of all global aluminum production and the sanctions news push prices up by nearly four percent early today on l m e the london metals exchange. india is seeking requests for proposals for defense contractors for one hundred ten fighter jets in what would be a massive military purchase of roughly fifteen billion dollars india's air force is currently still using some russian mig twenty one fighter jets purchased back in the one nine hundred sixty s. through the one nine hundred eighty s. two years ago indian prime minister modi was personally involved in finalizing a deal for thirty six french rockefeller aircraft worth eight billion dollars india
is seeking to have fifteen percent of the planes delivered ready for deployment and the rest to actually be built in india. and judge drug giant novartis agee of switzerland says they will buy the gene therapy developer of excess for eight point seven billion dollars the deal is a bit of a sequel to an accord we told you about lace let late last month in which to lack so smith kline bought out novartis a stake in a joint consumer health product venture novartis says that they will use cash from the g s k buyout to finance acquisition of a view of excess of excess researchers are focusing on potential treatments for spinal muscular atrophy or s m a a condition caused by a defective gene novartis c.e.o. is said s m a treatment in development could be worth billions of dollars in revenue of excess will reportedly given the application for. glittering approval on
the innovation later this year and another merger mania news earlier today the u.s. department of justice approved biotech and chemical maker bear a g.'s acquisition of chemical and biotech firm monsanto monsanto is valued at over sixty billion dollars the deal was initially announced in september of two thousand and sixteen and was cleared by european regulators last month after bear agreed to sell soil cotton and chemical assets including the main competitor to month santos roundup b a s f bear has agreed to additional sales of assets in seed in agriculture technology to meet a specific concerns of u.s. regulators. and the tariff talk between washington and beijing continues in earnest as us president donald trump tweeted today and other administration officials have been out in public discussing the matter to bring us up to speed alex mchale that joins
us from toronto alex first of all tell us about where we've come in just the last month for those of us not paying attention to the individual tick tocks of the moment. and we are going to get back to january when those first tariffs were kicked in by the united states against china for solar panels and washing machines and from there it just started steam rolling or snowballing actually snowballing not steam rolling and we got bigger and bigger tariffs as we went along three billion dollars worth of tariffs after that for aluminum and steel and bam china fought back with three billion dollars worth of tariffs and then trumpet out to fifty to sixty billion dollars worth of tariffs against china and then china did the exact same announcing fifty billion worth of tariffs against the states about once we got to the fifty million fifty billion dollar level different game this is all talk those tariffs of not being kicked into place trump got light take a couple weeks and pick and choose what he wants to put tariffs on from china that we haven't seen anything come out yet and we're probably not going to see any type
of push with this for at least another couple of weeks because then trump said hey let's kick it up to one hundred billion dollars worth in terror of so this sounds really bad but at the same time you know these tariffs aren't in place but industries and people are getting hurt this type of language does have a trick to trickle down and what happens is that some people in interest in the states as well listen try to buy you could be sure in the states are ready feeling this now trump is kind of pulling back he tweeted very recently here you got a look at this tweet it's pretty interesting what he's saying here president and i will always be friends no matter what happens with our dispute on trade china will take down its trade barriers because it is the right thing to do taxes will become reciprocal and a deal will be made on intellectual property a great future for both countries now this has been trumps type of tactics from day one a lot of people view it that way that this is a tactic but even with these tactics people are getting her part absolutely i want
to see sign that tweet with little hearts maybe will always be friends i mean to and the reason i'm a little bit juvenile about that is the whole thing it seems juvenile to. me i mean this back and forth that fifty billion one hundred billion as you say alex this is impacting markets in a massive way already soybean prices are down pork prices are down a lot of other commodity prices are down and then in the ancillary stock market so these stocks that are agriculture related john deere tractors for example see if industries which makes fertilizer con agra cargill a.d.m. archer daniels midland the supermarket to the world kellogg general mills all these stocks are crashing and secretary minutia on friday said that that didn't bother him that there was a big sell off in markets because markets were up thirty percent year over year since the election rather nasdaq n.y.s.e. and while he's correct if you got into the markets in the last couple of weeks
during this tariff tantrum boy are you probably regretting it if you were on the wrong side of the equation and with regard to soybeans those really impact us and as alex knows but for our viewers i used to be the deputy chief of staff at the agriculture department the president has told sonny perdue the sector agriculture hey you can try to use all the tools in your tool box at u.s.d.a. to help soybean farmers that's our number one ag export the problem is there's not much they can do other than buy soybeans but that would have other problems would it alex that's called subsidies and subsidies or something that you like when it comes to international trade so the world trade organization the e.u. other organizations can complain about this this could be something that is outside the bounds of the norm or even legal and in that sense i know being a canadian we've had subsidies here with wheat nick cetera and it's something i talked about in high school or we talked about in high school back in the day this is something that when it comes down to it it's not really a solution it's
a band-aid and how long can that band-aid fix something it specially if you're start getting into trade battles with other countries or the world trade organization comes in to search you know waving its finger at you this is not something. it's going to work out in the long run alex real quick we've only got about sixty seconds but even there's other commodities out there too we talked about pork but particularly those in california a tell us about some of those were the chinese are also going to place tariffs upon those commodities where you got stuff like fruits you got stuff like nuts but wind is also a big what i mean california makes a lot of wind you're going to bring up a chart for you just to give you an idea of what it looks like to work with wind sales to china china is the number five buyer of california wines at home comes on that list above china as well that's a lot of wind there the thing is that is actually has been growing china's been buying more and more california wine when you do something like this even the talk of tariffs you might get china to move into different directions before tariffs even kick in so places like new zealand and chile can really benefit from this and
what happens eventually is that consumers get a taste for different wines and that can knock california wines down even without tariffs being imposed alex we always appreciate your time and expertise r.t. correspondent alex behala bitch thank you sir thank you. and are we seeing the death of local auto dealers as consolidation is becoming a seemingly wave of the future r t correspondent actually banks fills us in nationally loud sorry bart so electric chair views and autonomy calls are threatening to reshape the car business we're now seeing a trend where small to mid-size dealer groups are selling their businesses to auto retail giants and investment firms according to aaron caring again the managing director of carrick an advisor says between two thousand and fourteen and twenty eight thousand about one thousand dealerships were sold to
a publicly traded company it's kerry going to add some are saying if i can receive the kind of pricing that's out there for my business perhaps the most prudent thing to do is to sell today rather than pass along to my sons and daughters of business that may experience a great deal of disruption in the future. reports say dealers must triple their revenue and order to offset shrinking margins and increasing competition that wasn't in place a decade ago experts say the internet has made car buying a lot easier for customers car prices are now more transparent and allow everyday people to shop for the best prices for new or used vehicle now tousle up as also making things harder for dealerships by using online ordering to avoid dealerships altogether and we're living in a time where right hailing apps like her are becoming popular some people would prefer to ride with stead of owning or driving a car that's fueling the consolidation of close to seven thousand nine hundred u.s.
dealerships that are now in the hands of fewer owners although auto sales have hovered around seventeen million dollars angrily for several years dealer margins are shrinking due to the competition now according to the national automobile dealers association and twenty seventeen dealers were able to take home two point five percent of the selling price of the average new car that's down from four point seven percent in two thousand and nine as it pertains to used cars and twenty seventeen dealers took home six point nine percent down from ten point seven percent almost a decade ago looking into the future experts expect electric cars a will represent a growing chunk of u.s. sales in the coming years that's only because electric cars need less maintenance and don't have engines or transmissions like gasoline powered vehicles now bart this coupled with people not buying vehicles due to ride sharing companies like
hooper and lift will certainly cut into revenue dealers typically can make they typically make from their service bases you know it's interesting actually just there are there are more car sales but they're making less money at the local dealership already correspondent ashley banks thank you so much ok. time now. after a quick pause but hang here because when we return the data wrangler pam peck citroen is back in the house and we'll talk facebook news about some recent horrible acts as we go to break here the numbers at the closing bell the dow the nasdaq and s. and p. all make it across the line into positive territory today but not by much we'll be right back. to the slopes of the blue of them so moving. and good news was
before. much of those who heard something moving soon we will. we will go. move. move. move show you this new pew of the liberal media who looked good or. more misled most of these girls who do films for good good. good go to shool so look i do assume you belong to show your story to actually go. to starbucks to. get to meet until it was the little blue mist they'd say look it is it's. himself some understand just means they mashed on to try to stop the president and he's been trying to.
as we have petitions to go shirtless for two snippets almost in the world because those are the those who would swear you support just to be sure station shouldn't be you should cook door for the one who's doing. well the war on the yuan the idea of dropping bombs brings in the chicken hawks was new to fight the battle for the. new start for the tell you that every garth of the ever well. there. was a lot of advertising you are now going out and buy. these are the hawks that we wanted or the white.
circumstances like the volkswagen emissions scandal and the two thousand and seventeen ryan air flight delays and mass cancellations to seek group compensation similar to class action lawsuits in the united states the plan would need to be approved by the european parliament and each national government. the european far right has scored another political victory the anti immigrant fit as party of the current prime minister viktor orban says they have secured over two thirds of the popular vote in parliamentary elections with that level of support fit as will be able to easily elect or by an end to a third term and party leaders have plans to change the young gary and constitution election observers from the organization for security and cooperation in europe said the campaign was marked by quote intimidating and xenophobic rhetoric media bias and opaque campaign financing a fit as spokesman said
a so. called stop soros bill would be a priority for the new parliament the ruling party has made attacks on financier george soros and his open society foundation a staple of their rhetoric in a campaign that hungary and jewish leaders and the european commission have called anti-semitic. and adidas the sports clothing and shoemaker is shifting gears by closing retail outlets all across the globe to focus more in line with online sales doubling its retail sales are hope in two years to four billion dollars casper or steadied as c.e.o. said our website is our most important store we have in the world it has priority when we hire when we allocate our resources and when we build our infrastructure the company will hire an additional two hundred digitally focused staffers while it focuses on infrastructure including warehouse and fulfillment centers for online customers. a new block chain development fund in china is looking for startups to
support the creation of the one point six billion dollars show gone on global block chain innovation fund was announced in an inventor earlier today at the opening of hangs our block chain industrial park the fund is a joint venture between the city government of hangs out which is investing four hundred million dollars worth of capital and private sector partners including two and one investment other big names in the deal are the founder of block chain of investors then fun and bitcoin tycoon. as regulars begin to catch up with cryptocurrency is that or not they are now tackling the staple of marketing the celebrity endorsement champion boxer floyd mayweather and musician dk collette were involved in promoting what the u.s. securities and exchange commission called a fraudulent initial coin offering the two celebrities promoted the venture using a firm called central tech and were not charged in the case but. and s.e.c.
statement did allude to the role though not by name experts say the referent to send a signal to celebrities who lend their name to a crypto venture should expect to assume responsibility and risk if they endorse an ill fated or outright fraud crypto venture and they should. consulting is the most important revenue metric for the big four accounting firms pricewaterhouse coopers ernst and young k p m g n deloitte and touche consulting revenues increased forty four percent since two thousand and twelve as only and only a poll only three percent for the auditing services that translate to more revenues based upon consulting than the traditional auditing services last year the big four made fifty six billion dollars from consulting and forty seven billion dollars from auditing. and there are more developments in the ongoing saga over the politics of privacy at facebook as mark zuckerberg prepares to testify to congress this week
facebook says they have suspended the analytic spurn cube you for using a data gathering technique that is very similar to that of cambridge analytic cube you is accused of deploying personality quizzes on the social media site that claim the data gathered will be used for nonprofit academic research when according to facebook it was actually used for marketing facebook took action after reporters at c n b c asked for a reaction to cube use use of tactics similar to cambridge analytic goes meanwhile apple co-founder steve was in the act told usa today that he has quit facebook over privacy concerns with a bit of knife twisting mr was the act added apple makes its money off of good products not off of you as they say with facebook you are the product apple c.e.o. tim cook knocked facebook last month when asked what he would do if he were found in this current crisis and cook said i wouldn't be in this situation zuckerberg
replied by dismissing cook's comments as extremely glib and as our viewers know facebook c.e.o. mark zuckerberg will face questions from members of congress this week in a prepared opening statement made available today mr zuckerberg tells congress we didn't do enough to present on. authorized uses of facebook data and here to discuss facebook and more about data is the data wrangler who search. thank you for being with us we haven't spoken since all the space book news broke what's your take on it well nice to see you and you know that my take is that you know there was a recent stat one hundred twenty two data records are being breached every second right now so i think that we have a big opportunity or some problems in front of us on this because it's much more widespread as you know there's there's quite a few since you know in the last couple weeks side from this facebook debacle
everywhere from you know you've got under armor you've got sears even pinera their data was taken i don't know if you saw that part no i didn't see the pinera do you know anything more than we have read already you may not about cube you would and what they've done with these quizzes. well what i know about q have you is there a pretty small company that's taken over eight point two million dollars of venture capital money quite a bit in the last year since two thousand and seventeen all based out of italy as is the company and i think if anybody would have went to their website they talk about timely deep and wide access to data they talk about personalities they talk about demographics they talk about different generations and so forth so if anybody takes a look at their website they talk quite a bit about the intelligence that they're gathering on and many of us from all different angles almost a three hundred sixty degree view of what you'd want from
a consumer so now and so the data wrangler would look at that and be questioning whether or not they would be using the data for anything else but average consumer is a should also be aware when they if they could figure this sort of stuff out i'm curious . when mr zuckerberg testifies before congress this week what would what would you say if you were him i mean he's apologized but maybe it's a little too late. in the idea i mean you know they make money off of data you work with with companies that make money off of data or actually trying to help themselves be more efficient effective with data but what would you suggest to him . i think what i would suggest you know i mean certainly he's been humble and he's been a bit of humility but you know what what transpired there from you know a concept in a college to being able to get that distribution and distribution i think they were so focused truly on like the client experience and what we were all doing and
connecting people and when it got into fund raising in the good things so i think it's going to talk about the bad actors and how do we control them and you know i don't think any of us really have the answer to that but i think my point on facebook is i don't think they were in front of it in the us you know saw danger coming and i mean i think they just thought it would slightly just you know make it sort of self out and didn't get in front of it and as a result of that you know a lot of information has been compromised where we were sharing you know pictures of children and dogs and weddings and things like that it's become a true b. to b. as well as b. to c. tool with really no rules and regulations around it you know. if maybe he had come out right away and apologized and then testified before congress it still would have been really bad but now it's just going to be a monumental mess so i mean as you know i worked up there for years on the hill and
these members of congress are just going to dig in and it is not going to be pretty there's no way right well and the question i think that they'll probably ask for i'm interested to hear the feedback right i mean what do you think cambridge analytics paid for their app to be on the facebook app store right i mean that app store that they've created was for purposes of playing games right you had developers putting games at the open a.p.i. zynga facebook i think that's the issue not the platform but the access that they've given to people the qualification process by giving access to those people right and what was the terms by which they bound to get people in able to take access into the platform itself we want to run into that we've got a. open a.p.i. to people what are people going to do with them how are they going to use them and i think that that whole channel side it was fairly you know just like you can sign up for facebook you could sign up and put an app on there and i don't think there was a lot of regulation around that internal self-regulation i mean right. before we go
you mentioned pinera and i'm thinking about it i did hear about this it's like it's the information that you ordered that bear is sending out i don't know who once you know what people ordered there but what are we just to expect that whether or not it's lord and taylor or under armor or pinera that our data is going to be compromised and stall and is that just the wave of the future no i don't think so i think you and i chat about this offline but i truly believe and i think the you know the regulations for p.r. the global protection regulation in europe this kicking off on may twenty fifth is the beginning of what we'll see you know in my vision is that we have to allow people you may anybody out there to be the owners of their data we don't have tools to do it but you know there's an opportunity there for the block and perhaps that might be the mechanism for all the things we've tried on it's to be able to get people to be the custodians of their own data or perhaps you know the next
generation of a company becomes the vault in the custodian where data is protected but we own it and we're in charge of it and you know we have a long way to go for that but i don't think that it's an impossible task to be able to get some control over critical data it may not be all data. i admired your optimism i hope you're right we want to have you back again to talk about it as we go forward the data wrangler. thank you as always for your time pam thanks bart. and before we go right hailing company ober is moving from four wheeled vehicles to two wheels as it expands the company's portfolio to bike sharing with the purchase of bike sharing company jump which currently operates in san francisco and right here in washington d.c. the reported value of the purchase is roughly two hundred million dollars jump it already planned to expand to other cities including sacramento and davis california
and providence rhode island purchase expected to expedite that and other expansions and on a programming note this area of bike sharing is incredibly interesting and is scurrying all over the world and on tomorrow's broadcast r.t. correspondent peter oliver gets on a bike and tells us about global bike sharing that's coming up next time that's it for now and thanks for watching sure gets boom bust on you tube you tube dot com slash boom bust r t get on your bikes and ride we'll see you next time. same downstream you know we're all the feel of the upstream yet and better off than she is because of all the garbage and everything flows downstream and in the financial world if you live in proximity to where the money is being printed the
cotillion effect is meaning that you get first use of that and then compounds at a rate you need to you get a comp rate of return based on the first use of time is on your side or downstream times working against you because you end up with a savings account paying zero percent or you have no wages or you behind inflation currently. twenty eight team coverage we've signed one of the greatest goalkeepers. but there was one more question and by the way who's going to be our coach. you guys i know you are nervous he's a huge star and the huge amount of pressure you have to the center of the problem here would you. agree. you are the rock at the back nobody gets past you we need you to get let's go.
a low. and i'm really happy for a draw and for the world cup in russia. this special one was also appreciated. just like the real theology team's latest edition as we go. through. when you don't see. the. two are. not true only ten space. left alone. said. climb into no seven to let. you speak french. the. new. busy.
and violent standoff between police and environmentalist continues for a second day in france barricades abutting while police have fired tear gas. and other headlines you discharged from hospital following last month's attack exceeding. doctor's initial assessments that she may never recover. an alleged chemical attack in syria was staged no traces of banned substances were found at the scene that's according to russia's representative to the united nations. in interviews not a single local resident confirmed the chemical attack having taken place as good bodies of people killed by chemical agents have not been found.