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tv   Power Lunch  CNBC  November 26, 2019 2:00pm-3:00pm EST

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>> all right outside of the aforementioned. all right. that does it for the exchange. i will join tyler in a min on power lunch which begins right now. we will see you in a moment for an all virginia addition of power lunch. welcome, everybody tyler mathison here. here is what's new at 2:00 for a tuesday. stocks are climbing to record highs. evening bigger market boom or is the bubble about to burst. plus cashing in a top analyst says square's cash app is about to send shares of the company soar and gave the stock the highest price target on the street he will be here to make his case later, the visco inferno wall street using this hot photo
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app. the ceo will be here to tell us the one fad he has his eyes on power lunch begins right now check out those record highs across the board the dow, the s&p, the nasdaq record setting major indexes on track for their best month since june as we look to round out november just sort of two and a half trading days left to go or a little more than that bri brian, take it away. >> did you really say visco inferno? >> visco inferno >> with all the three major averages hitting highs, can investors expect more gains as we head into 2020. good to see you. >> brian, how high do to stocks go from here
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he sees s&p 500 headed to 3300 by the end of 2020 just to put that number into perspective, that implies a 5.3% upside from where we're trading at right now some of the things he's referencing is a tri trifecta. bottoming out referencing the rebound we have seen in german economic data. other market participants are saying the factors are already priced into the market when it comes to trade there's still this risk that phase one deal is not signed and the new tariffs are implemented come mid-december that would put more pressure on china slowing economy. all this talk about a rotation you could argue this rotation has already gone through value to growth. both value and growth driven stocks have been hitting new highs. the s&p 500 with today's gains trading at around 19 times
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earnings the ten-year average around 17 back to you. >> thank you very much see you in a bit trade turmoil might be what burst the bubble, if there's a bubble the president signaling that u.s. is near a trade deal with china. listen to this >> i have a very good relationship with president xi we're in the final throes of a very important deal. i guess you could say one of the most important deals in trade, ever it's going very well at the same time we want to see it go well in hong kong. i think it will. i think that president xi can make that happen and i know him. i know he'd like to make it happen >> fairly positive comments there. we've heard some fairly comments on the chinese side as well. why aren't the markets even higher than they already are let's talk about it. he's chief investment officer with whittier trusts
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i agabegin with you we are at record highs it's not like the market has taken off on some of these positive developments. how come >> i think we are at all time highs for a good reason. look at how many different dimensions have seen a decline in uncertainty and a deescalation of tensions it's pretty clear now that we have avoided a no deal brexit. phase one of the trade deal seems to be on track in some way shape or form. the fed communicated recently and very clearly slow. it was a mid cycle adjustment. three rate cuts. they're on the side lines. no more rate hikes couldn't be clearer but most of all growth is coming in above expectations third quarter gdp growth, 1.9% earnings growth above consensus expectations and job growth was higher than expected >> ron, how do you react to what was just said?
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>> i take a different view i think there's a bit of risk that's hard to imagine what could cause an up prize surprise one of the bigst challenges is the value stocks are not offering very much defense because they are typically cyclical and the defensive stocks don't offer good value. i think it's a tough market for investors because a lot of good news is priced in. >> what could -- how could that uncertainty manifest itself? we really haven't had a 10% correction this year it's the biggest risk i had to sever several.
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i think if you get a phase one daily it's likely to be one step forward. i do also think it's moved from the economic arena into a national security arena which is a much longer term strategic i caution about getting a little too optimistic about around deals being the come prehence ifr solution to our china. >> this time last year we were sitting pretty as well then december happened we had the worst december in the history of the stock market. we came rocketing back everybody kind of blames that on a rate hike by the fed you worry we could be in for another december like event. market structure seems to be in some ways a little broken here >> no not at all the fed was tightening in the face of a slow down with spurred fears of a balancing mistake or misstep. they had been very clear if their communication with where they stand that's one clear contrast from
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last december. growth is showing signs of picking up none of these are a panacea. valuations have full at this point. >> address ron's point which if i'm paraphrasing him correctly is don't put too much stock into a phase one trade deal because it may be smaller and less significant than the market anticipates and number two it will leave out there big looming longer term collisions between the united states and china that may be far more important. >> the market has realized this is not simply a destination. this is going to be a long drawn out journey that lasts for
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several years if not decades it better get used to this one step certainty >> ron, jump in. >> i agree with that i think this is an apartment that highlights the importance of security selection. while i think equities are preference to risk income, i think it's a critical time to upgrade the quality of what people own in your portfolios but make sure noyou're not over paying >> thank you very much fed chair jay powell sounding optimistic about the economy saying he sees the glass as much more than half full. this morning on cnbc, robert caplin echoing those statements -- sentiments but he does have one worry and steve has the details.
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>> he says the u.s. economy should bounce back he says the 3.2 trillion dollar market can make things worse in the event of a downturn. >> it's not like '08, '09 because the problem is the lenders were overleveraged we now we have an issue where the borrowers are highly leveraged. if you have a downturn it means this amount of debt could be an amplifier. >> how would it amplify? you'd have downgrades and that would move investment grade into a high yield debt in a hurry a big increase could widen out rates would spike. that's unknown our issuers, have they been more careful this time around
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it's a job owning kind of thing. you're saying we're watching this i will say i talked to somebody who had a really interesting idea, which is this. you look at debt relative. what's happened to the i interest and the t, taxes. they both come down. >> yesterday we did a piece on debt and the energy space. >> that's the disaster >> this is the disaster that's coming i'm going to give you numbers now. >> give me numbers and i got to push back. >> $600 billion in oil and debt outstanding. you nope what the net income for the industry was, 59 billion >> not good.
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that's a big issue >> is there more bad news that's to come that isn't already priced in? >> if the oil prices fall by 10 bucks a barrel >> he is based where >> dallas. >> what state? >> texas >> what do they have >> oil >> he may know >> gentlemen, add to that. >> we have to go to break, don' we we >> no, we have to go to rick even better. >> speaking of debt, let's talk about more debt. today we had 41 billion of five
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year debt. the yield was 1.587. it's two and a half times over subscribe too. that's called the bid cover. you popped over 160 on the right side after the auction results as you open the chart up to fives to october 1st, you could see that other than volatility at the end of last month and early this month, it's basically been somewhat sideways and flat which is acting more like a short maturity zoom, zoom year to date. the five year close atd the end of last year, 251. we're down 108 basis points even though mr. caplin is very worried about debt back to you. >> debt certainly is a four letter word. >> thank you very much coming up, president trump is about to pardon a thanksgiving turkey. who exactly will get the call?
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bread or butter? we're going to find one analyst lewis and the news it's hip to be square. good pun terrible song. we're ckft ts. ba aerhi
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welcome back to power lunch. >> these companies are facing thousands of lawsuits over their role in the opioid crisis. the report is federal prosecutors have opened a criminal investigation into whether the companies violated the controlled substance act it's normally used to go after drug dealers we knew the companies had received subpoenas from the u.s. attorney's office in the eastern drik drik district of new york back over to you check out the shares of square despite the bumpy ride it's up more than 20% this year. coverage was initiated on the payment service setting an out perform rating and the firm's 105 dollar price target implies a 55% upside
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it's the highest on the street the analyst saying that square's cash app is starting to infiltrate venmo's key market. is now the time to cash in on square dan, welcome >> thanks for having me. >> venmo has a first mover advantage. a fairly significant one how does cash come into play here and take them over? >> cash is almost a disruptser t the industry it started in the southeast. it was mostly geared towards underbanked minorities in the southeast. what we're seeing over time if you measure the traction of cash adverse versus venmo from 2017 to '18, you're seeing cash app is gaining mine share. >> how is it priced? when i use venmo i'm always struck by how much i'm paying. what is it 1%, any of any
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transfer i make. >> for cash app if you want to transfer money instantly >> i want to pay bryan for the beer we bought >> it's free if you want to transfer money to your bank it's on a cash basis they make money in other things add jay sent people need money quickly, they transfer it to their bank account and pay a percent half that's a big driver of revenue >> person to person is free unlike venmo >> what does it do better besides that or does it do anything better? venmo works pretty well. >> the thing with cash app is it's a full eco system what they are doing is you can get your payroll transferred straight to that
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with the boost offering you can get a lot of promotion they are trying to build a whole eco system and go down that route of making it more and more of your banking needs. they have these point of purchase terminals they make it easy to pay using a little reader that you plug into your cell phone. it's magic on the other side of their business, have they vulnerable >> their the creditors they are the disrupters. everything else you mentioned are the inincumbent.
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there's about $30 billion of opportunity revenue just in the u.s. from penetrating more than 20 million small businesses that are now currently still using the old technologies you can see that >> i'm sure. i went to a business where a paid a guy on the phone. he plunged it into his apple phone. >> everything else looks chunky. my point is those incup benkucus aren't going to sit by >> no. we're in such early stages of this so there's a lot of room for opportunity and growth for every one. every one is learning and getting better square has the first mover advantage on the disruption and
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technology and ultimately let me say that, now they are focusing on two eco systems one is the cash app and one is seller imagine the world where the two collide and they can offer their own railway and connecting sellers and buyers this is a much bigger, longer term play than just payments it's a software company that monotizes. that's how you should think about it >> 105 price target. you're very optimistic about it. we appreciate you coming on. >> thanks very much. coming up, the hot trend you either already know about or will be hearing about soon teenage girls living the visco lifestyle based on a social media app and now large corporations are taking notice wee are anxiously waiting trump's pardoning of the thanksgiving day turkey which we're expecting at any moment now. that's the scene for the pardoning. i approve of pardoning turkeys we're back after this.
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i'm serious now. we have breaking news as the president is getting ready to pardon one of the two thanksgiving turkeys given to the white house. let's listen in to this moment >> it was george h.w. bush who first issued an official pardon. in keeping with that tradition today i will issue a pardon to a pair of very handsome birds. butter and his alternate bread their names were chosen by the students of harold christian academy in north carolina, great state. bread and butter were raised in tar hill state by farmer willie jackson who is here with us with his wife tara and their lovely family i want to thank you very much. great job. great job. thank you very much. [ applause ] thankfully bread and butter have
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been specially raised by the jackson's to remain calm under any condition which will be very important because they've already received subpoenas to appear in adam schiff's basement on thursday. it's true. hundreds of people have. it deem sooseems the democrats accusing me of being too soft on turkey bread and butter, i should note unlike previous witnesses, you and i have actually met. it's very unusual. very unusual in any event i expect this pardon will be a very popular one with the media afterall, turkeys are closely related to vultures. i don't know if i like that line but there's a little truth to it today after the birds will
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retire to gobblers rest at virginia tech, great college, where they will be cared for and enjoy a terrific life. this thanksgiving we bow our heads for the new found prosperity and spirit that's taking place all across america. the country has never been more successful our military has been rebiluilt we captured the number one terrorist in the world and killed the number one terrorist in the world i want to thank our military because there's nothing like our military i want to thank all mighty god for the shedding his grace on our nation our nation is special. we especially send our love to members of the united states armed forces serving all over the world. we're forever thankful for those who wear our nation's uniform
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and the families to support them the families are so important. can never be the same without those great families because of their selfless service millions of our americans are celebrating in safety and in peace it's a very special country, a very special place bread and butter have been waiting for this moment so patiently. their presidential pardons melania and i wish all americans a happy and blessed thanksgiving we love you all. butter, let's talk to you for a second i'm going to do something that you'll be very happy about that looks like a dangerous
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bird butter, i wish you a lot of luck i hereby grant you a full and complete pardon. [ applause ] full and complete. thank you all very much. that was great a lot of fun thank you very much. >> doesn't sound like the president remembered to pardon bread, the other half of the bread and butter the turkey tandem there
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>> bread was too busy loafing. >> bread was loafing he wished butter good cluck. >> there you go. >> see where the birds are going. >> they're going to your alma mater. >> they are. tyler is a uva cavalier. i'm a virginia tech hokie. we're good friends >> rivals but friends. >> there's hope for america. >> we need to put a little wager. >> we need to get it going save that for check going. >> venmo me. >> michael you posted a funny graphic about turkey's life spans. >> you have to know about black swans and turkeys and all the rest we'll talk about that later. small caps seeing a big break out. the russell 2,000 up nearly 2% in the past week one of our next guests isn't
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quite trusting this bounce just yet. let's bring in your trading nation team. still down below its all time high has broken above this one year range. what do you see in terms of this recent little spurt and whether it has staying power >> there's no question it's a positive development the problem -- i say problem but the one thing that makes me a little hesitant here is that three quick things number one, it's only a small higher high so far we saw a similar higher high back in may. a minor one. it was a complete head fake. it was followed by a 10% correction the reason that's important is number two the market is quite over bought in a near term basis.
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positive development but we need some upside follow through >> all right a little bit watchful. does it make sense given where we are in the cycle and where investors are positioned for small caps to have a further run here or are you going to be careful? >> it makes a great deal of sense. the abilities for managers to try to play catch up in an incredible year, this is group that's underperformed. do in part to its makeup you've got a tremendous amount of regional banks in the group and you have small oil companies. we've been building the position and we added on the break out. why? the risk reward. it's a simple trade where you put the stop below the break out. if you're in the trade and i continues at the momentum, you get to new highs
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>> all right see if it happens. thanks very much their, back over to you. ahead on power lunch, vsco fever. one photo app is inspiring a new trend among teen girls and wall street is taking notice. the ceo will join us next plus bringing taste testing to a whole other level. we'll tell you why ousted papa john's founder is so angry after eating 40 pizzas in the past month. it's the interview that is setting theinternet on fire. forget tacos it's turkey tuesday here on power lunch. what else could it be? we break bread with the ceo of boston market. all this when power lunch serves lunch.
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welcome back, every one. here is your cnbc news update at this hour. cuba's foreign minister is accusing the united states of violating the vienna convention and the deal reestablishing diplomatic relations between the two countries. soon after the united states announcing a new sanction against cuba meant to cut off the island supply to venezuela pope francis spent the morning at sofia university in tokyo. the pope said he dreamed of following in the footsteps of st. francis xavier who introd e introduced christianity to japan in the 16th century. nasa's new space capsule is on the move making a 50-mile journey to the nasa plum brook
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facility in ohio when testing is completed in four months the capsule will be taken back to florida. nasa is hoping to send a crew to the moon in five years get ready for thanksgiving travel aaa predicts the number of travelers over the five-day stretch starting tomorrow will be the second highest in history despite rising costs for a road trip also really bad weather across much of the united states. good luck out there. that's the news update back to you. >> tomorrow is going to be, it's just epic the travel >> i know. you have a long commute. >> thanks. >> you do. >> it's 55 miles it took me four hours two years ago to get home. true story i gijust gave up and had thanksgiving din r i didnner i t
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know they didn't know i was there either it's one of the hottest trends on smartphones. if you have a kid, you know what i'm talking about. vsco has captivated teen girls the app has 20 million active users a week you can pay $20 a year to use it the majority gen z user base it's caught the attention of wall street. it's listed as a top ten fashion trend among upper income teen girls. it also points to vsco girls about the beauty industry at large. joining us is the co-founder and ceo welcome. >> thanks for having me. >> the criticism of vsco is it promotes a world that not everybody can participate in the vsco girl is thought of as the rich sorority girl of social media and promote brands a lot
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of people don't have the money to afford. >> what you'll see is it's much more about being who you are and not what others think you need to be. you'll see a much more diverse perspective of girls on vsco if you're on the app. >> which i have been tremendously, actually it's a photo editing app how can you bewho you are if it's an editing app? >> we have a community without likes or comments. >> that's a positive i think that's a big positive. >> a big follower account since 2013 it's architected to give you the safe space to be who you are >> i would imagine, i know instagram has tried to pull back on the likes where you can't see who is liking it i think that's the one thing you guys have done well is the social pressure to have the counts it's like how many likes did you get. why did you decide not too that? >> i was talking with a friend and he was mentioning to me and
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he said, i'm looking at my daughter's profiles and he'll really worried it's not the daughter i know he saw this link that went to something vsco he said i went to it and realized this was who my daughter was for him it was this moment of like, it's a safe space where she can be who she is. he's like isn't that the company that you started i was like great now you paid attention it was like great to see it was producing what it was meant to do >> tell me how a photo editing app morphs into something that is kind of very much a vehicle for branding, it would seem to me the quote vsco girl wears checkered shoes -- whatever they buy. >> vans. >> certain kinds of bracelets,
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makeup, certain look that they quote come to stand for. how did that happen? was that conscious or did it just happen virally? >> it did happen virally as it relates to showing up on other platforms like tik tok it's space they were sharing what they wanted to be those brands weren't a big piece of what you'll see on vsco it's been part of that trend as it's taken a life of its own >> the users collect mo money from the brands. >> there's really no way to promote what you're doing. with no follower count, no public likes on comments it's not a platform to share a message to many people when we talk to our community they are doing it for themselves they'll engage in other platforms that they need for messaging one to one, one to many or broadcast a message out
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or find humor but on vsco they're doing it for themselves. it's an investment in their own creativity and mental health. >> it's here to stay social media is not going anywhere although it should be called media i'm not sure it's different than any other type of format what spojresponsibility does th industry have to make sure kids are, you talk to any parent of kids of the ages of 10 to 18, this dominants their conversations at home. how do you make sure your industry is doing things responsibly? >> first and foremost it starts with engaging with teens and talking to them, not about them. i think if you're having those conversations at home, that's a really great place to start. one thing you'll notice -- >> you ever try to talk to teenager >> i have a 10-year-old. it's getting close there there's this conversation of understanding what you're using and why you're using it. i think that gives me so much
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hope is i talk with gen z is they are really aware of social media and the impact it has on them >> should kchildren be allowed o be on social media >> to find your voice. find the safety to express yourself >> we have not given cell phones to our children. >> when do you plan to do that >> that will be a discussion >> i don't want to get you ahead. >> every parent out there will know this. how old are you kids >> 14 and 11
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>> one kid in class gets it and every day it's dad, dad, dad, dad. am i right >> you're exactly right. >> you automatic bally banish t first parent >> my daughter asked for a camera, polaroid >> a polaroid camera does she want a phonograph too >> it's coming back. >> she's getting a little polaroid mine too >> really? >> it's because of -- >> you're kidding me >> it's because of your platform i think she wants it >> to find a safe space to be who you are. when growing up my mom came to the states when she was young. she would take me and my sister to museums all the time in this old broken down volvo. her old point was you need to see the world through other people's eyes. it was always to find and see art so you can see what is the
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story they're trying to tell what's the story you're going to tell >> i'm going a buzz is going off in my head bad, bad, bad. how are you going to make this sticky >> it already is with millions of paying subscribers and growing. >> they pay. >> the trend as it lives on other platforms, that's not something that we built or did we're super focused on building something of value not selling ads or your data >> do you think -- i know we're over time. we all have teenage kids this is a major topic in our lives. do you think that a subscription model could work for facebook or an instagram or do they just make so much money that you could never afford to pay the subscription that would mitigate the money they are making? >> i can't speak on behalf of
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them >> best guess. we won't hold you to it. >> it's working for us so we'll continue to grow that to be as large as poblssible >> it's a good discussion on a topic we have athome >> four guy talksi intalking abs thank you. a lot of focus on elizabeth warren's tax plan has been focused on the wealthy, specifically billionaires. robert frank reporting this higher taxes could get people with much smaller incomes. robert >> on the campaign trail elizabeth warren says she would only raise taxes on the very rich >> when you make it big, when you make it really big, when you make top 1/10th percent pitch in >> along with the wealth tax she's proposed a dozen other tax increases including one on those making $250,000 a year her social security plan includes a payroll tax of 14.8% on those making 250 or more.
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that would affect more than five million american households. a taxpayer making 350 grand a year would pay an extra $14,800. she -- the federal income tax rate would top 54% when you add that together. that's back to 1971 levels it's not just wage income. investment income and capital gains wulds ould be taxed at th rate even if you don't sell. bernie sanders, joe biden and pete buttigieg would raise those caps >> the social security tax would apply to income above 133,000 in. >> correct >> people out there will say that was in 1971 and things were
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fine then. what's the problem i was born home prices are so much more expensive even adjusted for inflation than back then you can never make the historical comparison with these things because cars and homes have soared in price far out pacing inflation we're already facing this. >> the rate was there but very few people paid those top rates. coming up, a bizarre new interview with the founder of papa johns he's eaten 40 pizzas in the last month and he's not happy i'm not sure what's so surprising about those two sentences. 'rba rhtft ts.
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there are zero reasons to invest anywhere else. fidelity. the ousted founder of papa john's pizza sitting down for an interview today that is sitting the internet, well, on fire. there are some whacky details and who better to rep count whacky details than kate rogers. >> this girl, right here >> who has two thumbs and is good at recounting whacky details.
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>> the founder and former ceo of his namesake restaurant did an interview with a local louisville affiliate and accused his successor, steve ritchie, and current and former board members, of expiring against him. he was outed after accused of using a racial slur on a conference call last summer. he said executives used that incident to, quote, steal the company from him more importantly, schnatter said the company's pizza is just isn't the same since he's gone >> i've had over 40 pizza in the last 30 days and it's not the same pizza, it's not the same product. the way they're making the pizza and putting the pizza together is not fundamentally sound to what makes a papa john's pizza a papa john's pizza. >> in the interview, he talked about, quote, a day of reckoning coming in which the truth would come out about what actually happened papa john's did not respond to a request for a comment about the interview which went viral online you saw celebrities tweeting about it we should note, papa john's
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stock is up about 55% year-to-date they have a new ceo, rob lynch, who came in over the summer. >> looks like somebody must be liking the pizza >> i think investors are lying it >> maybe he had extra hajalapen on the pizza >> who knows boston market is gearing up for one of its busiest days of the year, expecting to serve a million meals on thanksgiving day. well, cooking all of those turkeys is far from the only challenge that the company faces. boston market's ceo joins us in studio next for a little thanksgiving walkup. this piece is talking to me. yeah? so what do you see? i see an unbelievable opportunity. i see best-in-class platforms and education. i see award-winning service, and a trade desk full of experts, available to answer your toughest questions. and i see it with zero commissions on online trades. i like what you're seeing. it's beautiful, isn't it? yeah. td ameritrade now offers zero commissions on online trades.
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welcome back to "power lunch. for fast casual restaurants like boston market, thanksgiving is one of the busiest weeks of the year, but beyond this week's food frenzy, the industry faces a full plate of challenges from rising food costs to delivery wars to fake meat mania. i didn't know it was a mania yet. but here to talk about how she is navigating it all is frances allen, the ceo of boston market. welcome. how many turkeys are you going to serve on thursday >> well, last year we sold 20 million -- 21 million turkeys. >> what? >> actually, yep, enough to fill 30 boeing 737s quite incredible
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>> and i assume you serve the trimmings as well. i can sign up for a package and you can do a feast for a dozen if you want. >> yeah, we're the holiday experts. our goal is to bring the entire family around the table with all kinds of meal options to suit any size or celebration. >> talk to me about delivery and how that has changed, expanded, challenged your business >> yeah, well, for us, our food travels incredibly well. in fact, i don't think there's food that travels better than boston market food so we're very well positioned for delivery -- >> because it doesn't get soggy. >> it doesn't get soggy. >> it's not like a french fry -- >> french fries lose it within 12 minutes >> if the driver doesn't eat them all by the time it gets to your house >> ours arrives in great shape, we know that from consumer feedback we've really leaned do delivery. we think it's about consumer meeting expectations for frictionless convenience >> so the founder of uber, travis kalanick, is putting $35 million into ghost kitchens, kitchens without a restaurant attached just for delivery are you doing that
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>> we're absolutely going to broaden the reach of our brand by leaning into virtual restaurants. we're going to test virtual restaurants early next year. we're going to partner with grubhub and ubereats and it will be a fast casual -- modern fast casual concept, with a cool vibe. and it will be boston market food that is served with a more modern twist so we're aiming at people who are heavy delivery users, who are not really into chain restaurants, but looking for, you know -- not food snobs, either so they're looking for a bit more of a modern twist on great food >> what -- apart from thanksgiving day, which we know what people would order then, what are the biggest-selling items? >> well, we -- rotisserie chicken -- our row 'tisti >> well, we -- rotisserie chicken -- our row 'tistiserie chicken -- >> you were boston chicken >> we were boston chicken. and it's still our most popular food item. and we slow roast it for 90 minutes and it comes straight off the spit and into your meal or on to your sandwich
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>> very quick answer, plant-based foods, meets, you experimenting there at all >> we're looking at it it's obviously something that the consumer really wants and so we're talking to our suppliers about what the options are, whether for rotisserie chicken or meat loaf or meatballs. >> frances, thank you very much. happy thanksgiving >> happy thanksgiving to you as well >> thanks for watching "power lunch" >> virginia beats virginia tech. >> no way! >> "closing bell" starts right now. welcome to the "closing bell." i'm court aney reagan in for s h eis eisen. at the best buy post, shares are rising it's been a very busy season of earnings some winners, some losers. we'll dig into some of them, coming up. we've got 59 minutes left to go before the closing bell sounds >> good afternoon, everyone. i'm wilfred frost. prrp says the u.s. is in the, quote, final throes of its trade

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