tv Boom Bust RT April 18, 2018 3:30am-4:01am EDT
chinese companies have already secured rights to the large majority of mining areas lithium with it with it's very light weight is used in batteries for everything from phones to electric vehicles according to a report in two thousand and by two thousand and twenty five the lithium ion battery market will be both more than ninety billion dollars. and earlier this month reported that serve martin sorrell the c.e.o. of giant advertising and p.r. firm w p p was being internally investigated for misuse of company funds as a result of concerns of the w p p board well now serve martin is resigning and two longtime w p p executives mark reed an andrew scott will fill his shoes the investigation is not yet complete answer martin continues tonight any wrongdoing also love notes or martin does not have a no compete cause in his arrangement with w p p so at least theoretically he could start a competitive advertising and public relations firm. and
joining us to talk about market moves of bank profits as the c.e.o. of straw mark or which hilary thanks for being with us there's been so much going on in markets in recent days that the trade stuff the conflict in the middle east what do you make of all that how's it impacting markets well as they say if we could have the headlines held at bay it would get the bulls out to play all right so we talked about before and thanks for having me again we talked about volatility but all the volatility breeds volatility so what we need is some stability for business however that this is wild people are busy investing people are busy looking at the long term so i would say the market is like the weather is going to come and go and it's going to change day to day but what's important at the underpinnings the underpinnings are fundamentally good and that bodes well for
business at both well for your audience well for all of us let's talk about a little bit of those fundamentals look specifically move to the banking sector in the last several days we've seen some banking profits j p wells and citi group how did they do well on friday we saw actually the order profits were up i think it wells up by that six the. and you know what's important about that and for all of us to pay attention to every single person you might say well those are the banks not me it is off you know itself because the bank profitability in anything to do with banks actually is a precursor to performance the economic performance so how the banks there is a good predictor of the performance of the overall economy so they're up looks like we're going to be up now with particular regard to wells i i hate that i've had to do this but you know watch them for years as a regulator and then yet in these recent trouble so my you my usual lead it is bad boy bank wells fargo i hope they get out of some of this mess but is there any good news on the horizon for them hilary i think so i think it looks like they're
settling such a settling you know it's better to have it over and done with you know settle with regulators get it's past we keep saying that and there's like another i don't know how many shoes can drop with wells fargo they paid such they played such an important role actually in the history of our country you know they did they got that iconic stage yes right across the midwest yeah that they really did i mean they wells and fargo were from san francisco when they started banking and they built up these towns and it's just a shame to see what they've gone through don't get me wrong it's their own doing but i just hope they get back on on on track. real soon now let's go and talk about you mentioned we talk about volatility talk about bank profits one of the interesting things when you dig a little bit deeper and i know you have also into the earnings report is they didn't actually make as much money from their loans but they did make some money on
trading explain that to our viewers what will banks make money on phrases kind of like with your accountant the same as taxes we just finished our tax season and so when your accountant needs to do something like a stockbroker needs to do something that means they're going to make money they make money on every trade so it's the same with the banking industry volatility actually for them is good the more times they need to adjust an account your account the more they need to work on something that of. helps profits and the same thing for trading exchanges actually i mean they make money on transactions so if when people are buying and selling because there's market moves they're actually doing pretty well so the exchanges do not rely on the markets being up or down i mean that's good for the economy a good first start but it's not necessarily that it's good for the exchanges either way and to some extent it's good for banks either way because of these transaction fees as you're talking of volatility is good for the banking industry it just might be i think the bulls come out to play in terms of the stock in the confidence in the economy when things are more stable and that's the way business looks at everything to my clients global clients they want stability when you're looking to
invest you're looking to hire it's the same thing as an individual if you're going to take out a bank loan you're going to buy a new house what do you want you to have a job if you don't have a job if you want to show you're going to lose if you're going to lose your job you don't make the same investments so investments and also risk risk is a big issue people are more likely to take greater risks and them eggo more profit for the banks if they sense stability and they know how they can project and plan right and i should give short shrift to the other economics of bank profitability because one of the things that impacts those loans and therefore their profitability of course is interest rates we're seeing interest rates great for them right because what one that i have and thus they get more money comes into later and higher interest where they can charge higher interest rates also because at that point you know going to shop around as much you've got a deal you want to do you have an investment you want to make you're not going to be as picky as interest rate you got to make a lot of money and then you're past high interest rate europe and whatever we all bought houses back in the eighty's unfortunately some of us that are already you know it's thirteen percent yeah absolutely you're going to get
a better remember that and for homeowners who are seeing these interest rate increases the reserve expecting to maybe three more one of them are saying i'm going to want to do a deal now before we go that puts pressure and makes people act you right two hundred twenty percent ahead of the night before we go i want to talk you mentioned tax day today the last. people can file not the fifty the south the seventeenth and for the good things that the president has done and how many there's a few and one of them where the tax cuts we can argue about where they went and how much they are is not crumbs two thousand dollars are not krauts not to homes to average folks would it would last longer they're not going to the business tax well that's out there that's ten is that's right however will these gains from the tax benefit that individuals have been getting are those going to be done away with by higher prices from these tariffs tantrums when people go to wal-mart or buy cars or i think that people are talking about the tough time tribes it's very interesting
to think about this spot because you know the chinese as we know you know they were twenty five percent we've actually been in people like to say we've been in a trade war for twenty years no we haven't we've just been the one that is being penalized and we accepted it so finally we want parity with just one party so in terms of trade wars and tariffs if it becomes fairer remember this with regard to chew in the in the tiny chinese they have a lot of investment in the u.s. they invest and import a lot of pork so they bought smithfield and the fact that they bought smithfield there's a lot of companies they now own and they've invested here and they're not going to want to have them penalize so i think it's more huffing and puffing and worries and tons of the we need to i think the terrorists are going to be closer to power that will be good for everybody in the u.s. and actually good for the global economy i hope it works out you know we've noticed in the last several days that the president's task larry kudlow in the u.s. trade representative robert bly hisor with trying to reenter the training camp in a partnership i never thought they should have left that thing but it was
a big campaign move by a statement by the president to get out of that thing but i think it's good to get in so good for the president more power to larry kudlow in an ambassador of light hisor hillary ford which c.e.o. of straw mark thank you as always for beyond salumi any time thank you. and once again we can't go. away from the tax they should five percent appear too small be thankful they don't take it all how dated are those lyrics we'd love to have five percent right now right guys r.t. correspondent ashley banks give us some tax related numbers that might surprise you she report from the internal revenue service headquarters here in washington. at the time of year again where your taxes are due and i.r.s. office like the one behind me will determine how much money you get back or if you're not so lucky how much will oh if you're filing your taxes today you are not alone statistics show most people file their taxes within two weeks of the debt
like for those who aren't able to meet the deadline they asked for an extended debt line which will allow them to file throughout the year according to the i.r.s. one in ten tax filers get a six month extension that's about fourteen million americans who don't meet the schedule deadline the good news is there's a grease period the bad news is if you take the six month the grace period it won't only delay any refund you have coming your way but if you owe taxes it won't exempt you from having to pay them today every year the i.r.s. process is about one hundred fifty two million individual returns the company expects about one hundred fifty five million returns to be filed this year federal income taxes are the main source of revenue for the federal government however some americans don't have taxable federal income because they're either unemployed students or foreign government employees but those who do have taxable federal income must file their taxes to make it easier more and more people are filing
their taxes from the comfort of their own home using sites like turbo tax age an r block and tax act usually these sites are free for customers up until april first saving people hundreds even thousands of dollars which would be spent getting assistance. for those who prefer to consult a tax professional experts warn tax fraud is becoming a bigger issue and cyber criminals are targeting tax professionals who are filing on a behalf of individual tax payers experts say cyber criminals are able to obtain private information of clients and can use the ip address and the computer belonging to the tax professional and order to file tax returns with the i.r.s. cashing in for billions of dollars according to reports just last year i.b.m. security says cyber criminals now at four hundred forty five billion dollars from tax fraud so in filing your taxes make sure your cues
a tax service that will protect your information center to avoid being scammed and washington actually banks art. we're going to squeeze in a quick break but before we do here's a quiz question for you when was the first u.s. government income tax imposed on individuals was it in seventeen seventy six eighteen sixty one or nineteen thirty four while the answer we are back. in july twenty second taking on an attempt to freelance journalist working with a. militant shelling in syria. to own a second funds which he has established a holiday such as memorial day will recognize war reporters who often risk in the sake of the truth comes through that. you can submit to your published works in
a video form written form to award the t.v. don't come into now. well by side not. to be a little we'll be up a summer and then to plant the seeds in the air the folks there be your body and so your brothers. in these new montana players are some go for spot stuff i've been. feeling pretty cold as a fair follow powerful. want to start a job in d.c. hi michelle i still miss the mental days you don't i mean you sound to so females of ballet she cheered on faultless is she really. the next measure that
a modern take on the various industries bands. global warming are selling you on the idea that dropping bombs brings police to the chicken hawks forcing you to fight the battle of the dog. to new socks for the tell you that will be gossip the public by itself of the most important day. of the masters has been telling you are not cool enough unless you buy their product. all the hawks that we along with our audience will want. welcome back our quiz question is when was the first us government income tax imposed on individuals was it seventeen seventy six eight hundred sixty one or
nineteen thirty four and the answer is in order to assist paying for the civil war effort cover of congress imposed the first personal income tax in eight hundred sixty one incidentally a year later congress approved the revenue act of eight hundred sixty two instituting a three percent tax on incomes above six hundred dollars which rose to five percent for incomes above ten thousand dollars. and my house godfather of gambling is retiring at the long age of ninety six stanley ho who is credited with bringing gambling to the chinese territory is stepping down as c.e.o. of s j m holdings in june macau the largest casino gambling jurisdiction on the planet which years ago surpassed las vegas and gambling rez reduce brings in more than thirteen billion dollars each year there are currently thirty three macau casinos including of the nation m.g.m. and when casinos and other casino related news we don't often have casino related
news but billionaire investor carl icahn is selling the tropicana entertainment casino group for roughly one point eight five billion dollars the deal calls for gaming and leisure properties to take over tropicana real estate while eldorado resorts absorb the gaming and hotel operations mr icahn is assisted in renovations of tropicana since it became an investor back in two thousand and eight tropicana own that operates eight casinos and resorts not only in las vegas and at lenox city but in indiana louisiana missouri mississippi and in aruba. the proportion of young adults who don't leave their family nest has steadily. increased in recent decades and accelerated after the two thousand and eight financial crisis across education levels race gender in region no group has been immune from the trend pew researchers think that twenty somethings are boomeranging back home because in
contrast to previous generations that this stage of their lives they are less likely to have a well paying job and less likely to be married it turns out that no job and no partner makes living with your parents a lot more appealing although perhaps not for the parents. general motors company will cut fifteen hundred jobs in ohio eliminating a shift from their lordstown plant where workers assemble chevy cruze cars the compact sedans the move comes as automakers including g.m. and ford are effort ing to rebalance their in inventories to be able to keep up with demand for more sports utility vehicles and pick up trucks the sales for which is increased due to lower gasoline prices the current average nationwide price for a gallon of regular gasoline is two dollars and seventy cents which is actually up eighteen cents from one month ago. as a trumpet ministration up the rhetoric on trade and tariffs president paying of china announced that they would be willing to lower auto tariffs least that's what
they said but is this an olive branch gesture or anything genuine behind it or is it just another reason china is offering a concession here to discuss is the car coach lauren fix lauren what do you make of paying this statement about the tariffs. well i think china has said this before you know if you lower yours will lower ours if you raise yours will raise ours i think the truth is the fact that it may just have to be a statement in the air because the truth is if i'm going to charge you twenty five percent and you're going to charge me twenty five percent then just zero it because it just offsets each other which is really what it should be it opens up trade for the whole world and i think that be a smarter choice because if we start adding tariffs cars get more expensive for us going the other way they just won't buy our cars so we have to figure out some way to make it work for everybody you know ford and general motors have these joint venture factories over in china and i'm not sure exactly how those work or what's
required but they do seem like they're odd ducks can you explain them to us sure a lot of manufacturers have joint ventures including b.m.w. and audi volkswagen a lot of lot of brands what they're typically doing and this is what they same project they offer tesla is will own twenty five percent of your company now the words they get a piece of the control of your company you're not functioning a business within their basically communist country so because the rules are different you follow the rules or don't do business with them. well i guess they've got the upper hand in that deal i want to ask you also about shifting gears to ford they're building a new premium they're using lincoln over there in china making a new vehicles five new vehicles by twenty twenty two i would have thought that lincoln would be real popular in china but does that mean they're gentrifying i guess i don't know what do you think a lincolns very popular in china it's a sign of success i've spoken with some executives there and they have told me that
the reason they sell these vehicles is because of the service that goes with it they take away all the pain when you then this is really interesting when you drive around the corner they can track your license plate know that you're coming and they know that mr or mrs so and so as arrive they have a cup of tea waiting for you there are no used cars in their country so. they don't do the same type of service and maintenance that we do they pick up the vehicle they maintain it they return it so that really ultimate customer service is really what it's all about cadillacs doing the same thing and that's why those two brands sell so well in china those that have money are buying american cars it's a sign of success oh that's really interesting had no idea wealth of information lauren one other thing we see that they're closing some chevy plants that are building the cruise and the rationale with the lease what was reported is that they're going to that to meet up with demand for s.u.v.s and crossovers if that makes sense yeah does if you look at the market segments as
a whole most of the vehicles being sold are crossovers and s.u.v.s that's a people want that you want you could have the same thing in a city i guess as it is they put it in how people are looking at is i can have the same exact can deal call that drives the same as all the same accessories or it could have the same thing with more space i would want more space the price is about the same it's a safer vehicle so people are not that one safer and one's not but in the eyes of the consumer it is and so that's why s.u.v.s and crossovers are hot and sedans and sadly just are not and finally lauren what about tesla on must seems to have become involved in a big spat with the national transportation safety board not a good idea in my view to get into fights with regulators what's that all about it's about one of the self driving the s.u.v. that had an accident and killed the driver or the operator right the operator was behind the wheel of a model x. which is the rescue v he was in the pro in the auto pilot mode which which is not
so actually it's not time in this mode but it is sold as such and people get that impression by its name it hit a bridge abutment sorry it hit a center median and the driver passed away so tussles been blaming the driver for the n.t.s.b. the national traffic safety. it's a hold on just a minute you can't be putting that information out to consumers without us doing our investigations and why they're in the middle of the investigation typically a manufacturer is involved but in this case they told them you're not involved anymore because you're putting out this information until we have an actual answer that's not very smart to go against regulators because they can really make it painful for you that they can and you know tesla is going to want something their future whether or not it's from n.t.s.b. or somebody else we covered a lot of ground in a big hurry the car coach lauren fix thanks as always for joining us and into.
the u.s. federal communications commission is will not investigate sinclair broadcast group or distorting news coverage even after the urging to do so by prominent u.s. senator maria cantwell and eleven other senators including bernie sanders letter was sent after it was revealed and we reported it here on boom bust that sinclair news anchors that two hundred plus stations around the united states read identical scripts warning viewers about fake news meanwhile sinclair is in discussions to purchase tribune media for a reported three point nine billion dollars and here discuss all of it our media expert and a host of artes the big picture with holland cook holland cook of all people go of all people thank you for being here are you surprised i mean the the f.c.c. has the ability to investigate and grant licenses eccentric but are you surprised that they didn't take these senators request and go ahead and investigate sinclair the f.c.c.
is very loath to regulate content but they're very strict when it comes to making sure people know what kind of content they're watching and in december they find sinclair thirteen point three million dollars for running seventeen hundred. promos actually commercials disguised as news stories because sponsor identification is supposed to make it clear what's news and what's a commercial and they fail that maximum fine could have been eighty two million which is not small change that would have been three percent of sinclair's annual revenue so it's a slap on the wrist but that's where the f.c.c. gets into it now it makes me think when you say say that remember the whole i'm trying to remember the name of the law but it was the essentially the equal time vision of the fairness doctrine the fairness doctrine of a lot of people people don't know about it is socially say you've got to give the
other side of an argument this happened a lot in politics but the fairness of the fairness doctrine or whatever what that's gone now right got tossed out during the reagan years around the time talk radio came about and the internet was yonder and the promise of the fairness doctrine was in olden times when there might have been three or four t.v. stations and one or two newspapers the very few voices provided us our information well now we've got the internet and all of that so it is no longer necessary to regulate equal time because if you don't like what this channel saying that channel saying the opposite cut it i still like that i still think there is to be equal sides on some things i get the first amendment but i remember with some melancholy that then i sort of liked it. but the f.c.c. the f.c.c. while they have not chosen to investigate sinclair there are some members of congress who want to different investigation of the actual chair of the f.c.c.
what's that about well and it's going forward there are two democratic members of congress frank pallone from new jersey and elijah cummings from maryland who want chairman pai investigated apropos this sinclair tribune merger because they're wondering if recent regulation he has poor. through is tailor made for this merger and i'll try not to get into the weeds with this but there were two aspects they're concerned with what was called the newspaper cross ownership should they relax the rules to let a t.v. station and a newspaper be cohen doing one town again the argument that with the internet and all that there are many voices and maybe that's an arcane rule curiously the chairman also took away what was called the u.h.f. discount and in olden times when v.h.f. was the big brother t.v. station and we fumbled with the tuner on u.h.f. the f.c.c. allowed a station owner to count us stations as a less than one for purpose of meeting the maximum number they were allowed to own
well since the digital transition most of t.v. is moved to us chef so it's really moot but this favors sinclair and tribune merging because they're going to get that keep more stations they've got one hundred ninety three now they're going to be well over two hundred and the f.c.c. commissioner job is the most lucrative revolving door in washington you do your seven years there and you get picked up on k. street or by one of the big telcos mr paey himself was a verizon lawyer before he's kicked out net neutrality who knows where he will retire. it happens all too often in the swamp i guess although it's somehow things keep working here on before we go let me ask you about that merger a little bit whether or not and it is like we know that the whole time warner deal this is something that the tribune and the sinclair merger would really be something before the department of justice the and i trust division on whether or
not they would be too big what's going to happen with that again this is something f.c.c. chairman applied to net neutrality he says get the f.c.c. out of the business of regulating the internet because the federal trade commission will sit up straight if somebody gets too big we'll see. hoeing cook host of the big picture and media expert in-house media expert thank you my friend always good commish for shit. that's all for now thanks for watching the show catch boom bust on you tube you tube dot com slash boom bust catch you next time. for manners sitting in a car when the phipps gets shot in the head. all for different versions of what happened one of them is on the death row
there's no way he could have done it there's no possible way because the list did not she ran a corner. this american foreign policy possesses specific d.n.a. it would seem so it doesn't matter who the president is it doesn't matter which party controls the white house the neo cons are firmly in the south. los angeles the city of luxury and fame but also an alarming number of people living in the streets. the simple fact in l.a. he's there's just not enough shelter even if people on the streets right now decided to come in there's nowhere to come in and it's been a struggle. running into this man found his own response of the problem and constructed dozens of tiny homes for people in need of shelter when you have
nothing and nowhere to go. you know having something like this may as well be a castle but do the authorities accept such solution tiny house on a city parking space is not a solution her to someone wanted to ring the site otherwise it will be a free for all and is there a better alternative to end the homelessness crisis. so . so. i'm never out of. i know full. well without the help of god for.
the top headlines for this hour on r t international eyewitnesses on medical stop in the syrian city of duma claim to od t. there was no chemical attack with doubts now even being raised in the western media . members of the european parliament voiced their anger at the french president over the action taken against damascus while the u.k. government faces a backlash from m.p.'s over its role in the strikes. members of this house seem top let's say in foreign policy in this country the president trying. it with sort of the producers over documentary called in the execution of shadow to claim the us death penalty has racial undertones.