tv Boom Bust RT May 28, 2019 11:30pm-12:00am EDT
bill of it is harvesting the data and burdens us and numbers on which products have their yields in freefall. the baseline ball is back on the run what's causing the fable to say later i'll take a look at where we stand now and what's driving the rise so much to get to the show that i select. a new plot twist in the drama surrounding french carmaker renault leads our global report today as fia chrysler proposes a merger a statement from fee on the proposal sent stocks for both companies up sharply by more than 11 percent leadership at renault reportedly will consult informally over the coming days regarding the proposal to create the world's 3rd biggest carmaker for the chrysler c.e.o. mike manley enthused 2 employees in an e-mail about a merger of like minded businesses and renault seems to be in a mood to entertain corporate callers seeking to woo the french automaker after a current partnership with nissan was rocked by the arrest of executive carlos go
on mr go and serve his chair and c.e.o. of an alliance between renault nissan and mitsubishi the proposed merger offers clear advantages for both companies including complimentary market shares in north america and europe chrysler has suggested that if the companies do merge no factories would be closed. the chinese government moved to seize a sound bank on friday citing severe credit risks regulators will assume control of the bank for one year and c.b.c. will manage its business operations the people's bank of china reacted quickly injecting 150000000000 ran through open market operations in order to increase the supply of short term funding to banks this is the 1st bank seizure and 20 years and investors are now questioning the quality of the bank's assets and the possible contagion risks if it were to liquidate those holdings small banks like are subsets of all to economic slowdowns because of their risk management capabilities can't keep up with the. pace of growth their growth of lending practices are now coming
back to haunt them as they're severely of extended much of the overextension and slowdown sems from the trade war being waged by the united states and it's not just hurting operations across the pacific right here in the united states several sectors have been slammed by the shipments down made most notably agriculture which has seen a drastic role and its market here to catch us up on the table as a task is our key correspondent alex mahela that i like the content ministration has been green let nearly $30000000000.00 in bailout money for u.s. farmers are being hit hard by the china u.s. trade we also know that american made machinery used in agriculture is taking a few punches as well what can you tell us. well as you can imagine the agricultural industry goes beyond just the food that we in the companies that build machinery so that food can be created for us one of those companies is john deere are here in company they have gone beaten down in the past couple of weeks we're
going to bring you up a chart just so you can see what that actually looks like and it's quite frightening i mean this company the stock fell more than 20 percent below the 52 week high which there was this april the stock was at over 169 bucks than a dip down to one under 135 a couple of fridays ago now it's recovered slightly hovering around $139.00 now john deere says this is due to the escalating trade war between the u.s. and china if u.s. farm goods are not being bought by china obviously u.s. farmers don't have money to buy the equipment that they need or to upgrade their equipment total trump tweeted a while back and said you know what just buy more american if americans buy americans you don't have to worry about the tariffs well it's hard to buy american when you don't have money in your pocket specially when these goods are not being sold because the farmers don't have money and also on the other side of things these goods have gone up in price from jordan dear to manufacturer. there are
tractors etc they need steel and guess what the us has or had tariffs against that was steel they still do in some places and that means that steel prices are more expensive and obviously that goes to the manufacturers and the manufacturer has to charge more for whatever they've built and of course who ends up paying the most of the end that would be the consumer and this case more than likely a farmer now alex when it comes to made in the usa agricultural products the trade war is certainly a big factor at the surface level of things but there's a lot of other factors affecting america's farms what else is going on in the mix here. i want to talk about one big one and that's african swine fever i mean that ties us right back to china when it comes to the u.s. that that virus is they're saying it could kill about one 3rd of all pigs in china china happens to be the biggest consumer of pork as well as the biggest producer china produces more pork busy than the e.u.
and america combined prices for pork a ready gone up but worldwide some countries are unified it is a 40 percent higher than it was before just because of this virus so when you're looking out there think of what you know what china is getting it's losing its pigs it needs to fill those gaps a place that could be good for the american farmer but with the trade war the way it's working right now it's not translating in that direction what china's going to have to do is actually go to alternatives possibly they're saying chicken can go up and the u.s. is could play a big part in this if this trade war goes away there's companies like beyond meat that are making alternatives to pork so if this thing continues hey they could jump in but it's all up to the trade war or dissipating and eventually going away that the american farmer can cash in on this awful awful circumstance that's happening in china and beyond. thank you so much eric a correspondent alex mahela us we appreciate it. thank you.
turnings of aftermath of the european union elections italian deputy prime minister material salvini is already making a play for the role of leader of right wing forces across europe and picking another fight with the e.u. over budget rules mr salvini has already has called for the radical measure of a 15 percent flat tax on all income which would cost an estimated $30000000000.00 euros according to mr sell meenie meanwhile the european commission is set to release a report that will lead to rome about failures to adhere to the preferred budget limits in the meantime mr salvini and and his coalition partners of the 5 star movement will have 2 days to respond to a letter from the commission european commission protesting failure to comply with european budget rules the italian government could be fined 3000000000 euros by the commission for the budgetary breaches. and staying in europe for a bit. more on the e s latest elections we are joined by the former 1st minister of
scotland alex salmon who joins us from our u.k. studio. first of all you're the you're the expert here so we'll open it up what's the biggest story as you see it coming out of these e.u. elections. well let's take the you case of speaking from london the big story there is the success of nigel from new bracks that path day which has swept into the leading position and english politics this caused consummation in both the ruling conservative party of the opposition labor party the can self those are no engulfed in a leadership contest in the labor party have just engulfed so nigel foote as his success is the big story coming up perhaps in the meat to eat. more successful than in england is my old party the s.n.p. in scotland swept the boards not for the barber that brings the prospect of another
independence referendum for scotland but firmly on the agenda. and there was some very good point to make about the rise of the braggs at party and your scottish national party the other tracks of analysis i've seen have said well one that the right wing. though increased from last time around but has not as much as may have been expected and also that the greens seem to be getting a significant amount of the votes that are bleeding from the old social democratic parties what about those 2 points of analysis do you think those hold up. yeah that does i mean steve bannon they know who was trying to instigate this right wing subject close you'll be must be in mourning today because what actually happened there's a lot of the center right the european peoples party lost about 40 any p.e.'s in the european parliament as did the social democrats another 40 the bulk of these
were well not won by the the far right party is a steve bell and would have wanted but won by the liberals and the greens on the left wing autonomy across europe they want to 70 seats between them and that left only very poor pickings for the european right too had been expected to make rapid gains in some countries like italy then rather well but in most countries they did very badly. very good analysis there and you know taking a look closer on a country by country level you know we see in germany for example or the alternative for germany notably saw their vote total fall from 13 percent last time around to 11 percent on the other hand in only mr sell beanies lead party doubled their vote from the last cycle to 34 percent what do you think accounts for that. virgin prospects of those 2 apparently similar far right parties. where the success of the greens and germany was the big story of the night in europe's most
powerful country and the success of sr salvini successful for his legal party is not all that it seems because a lot of the leader doubled their support to over 50 percent their partners and government the populist right wing 5 star movement their support was half so in terms of the overall balance of italian politics it's a bit like care the rearranging the deck chairs the leaders move forward 5 stars move back there that some portend for the future of a talian politics but it's hard to go into the valley round the rest of europe. so speaking of mr solve any he already feels to be leveraging that strong result to make a play for the role of the leader of the european anti e.u. forces can you take that role and will we feel more confrontations with other over the budget austerity rules and not just from italy. you are not a chance because he doesn't have serious allies i mean these are trying to ally
with the bo galleon strongman but you know that's not the center of european politics madame le pen is is and has flank and of course she won the popular vote in france but by less than she won it in the last european elections and there were there. nigel for rise in the u.k. which of course would be fine except niger for. unlike your salvini is to get out of the european union so it's very difficult to ally with suddenly to take over european politics from there on their way to exit the scene so i think it's going to be sorely disappointed to present himself as a a major european figure that doesn't mean of course that he doesn't hold the initiative in the tally in politics. right no he's certainly does. so right now what will be the european business classes take away from these elections really quick. well i think great relief because the right wing saw was
widely expected a much touted so i think really a stylish maneuverable be pretty please i mean. webre chances are not as odds on is that we have to become the next european press to some people particular the french president talking about michelle golland the balmy the european negotiator michelle obama as a possible alternative candidate he's up to 2nd favorite and the betting so there might be some gestures towards the liberals there all the group and towards to greens but basically not too much change and a lot of people would say you know it's time for this you awfully between the same to write them the same to left to have at least a sprinkling or some other voices that loops like the result and i think will be sighs of relief in most of the european capitals excellent insights on europe from the former force 1st minister of scotland alex salmon thank you very much for your
time. a great pleasure. time now for a quick pas but just on the other side the bedtime ball is back on the run but what's causing the fable to say i take a look at where we stand now and what's driving the rise and as we get a break here the numbers at the cloud. you know world of big partisan movies a lot and kids yours it's time to wake up to dig deeper to hit the stories that made history media refuses to tell more than ever we need to be smarter we need to
stop slamming the door on the back and shouting past each other it's time for critical thinking it's time to fight for the middle for the truth the time is now we're watching closely watching the hawks. facebook and google started with a great idea and great ideals unfortunately there was also a very dark side. they are constructing a profile of you and that profile is real it's detailed and it never goes away turns out that google is manipulating your opinions from the very 1st character that you type into the search bar it will always favor one dog food over another one comparative shopping service over another and one candidate over another they can suppress certain types of results diced on what they think you should be see if
they have this kind of power then democracy is an illusion the free and fair election doesn't exist the more road we give them the sooner we are all hand. fellow climate where we're at campgrounds of america i think it's called there's like a chain of these campgrounds and trailer parks across america so yeah these types of organizations would be rolled out into a bigger rural up so you have economies of scale you now have lots and lots of trailer parks all socialize reporting to one corporate behavior on wall street and there extracting tickles and dimes and a lot of people are suffering. ali baba group is looking to add
a listing in hong kong giving the tech giant another source of funding from investors in asia and boosting its market cap alibaba intends to sell new shares but it is still unclear how much the online retailer will raise this time in 2014 it went public in new york and set a world record for the largest i.p.o. raising to $25000000000.00 additional funding could help defend its business against rival tencent holdings trying a 2nd most valuable company known for its video games and social media businesses the secondary listing would also help to diversify funding channels and add liquidity this decision comes at a time when chinese tech firms are coping with increasing hostilities in the u.s. amid trade negotiations just last week while way and a dozen affiliate companies were hit hard after the us placed them on its and to do list. there is major crime in corruption in news out of mexico where the former chief executive of the state oil company pemex now faces charges in an expanding
investigation the former pemex c.e.o. a 1000000. faces charges of tax evasion and bribery the case summers on mystery was all his role in the alleged bribes paid around the sale to pemex of a fertilizer plant by mexican steel makers. interesting leave brazilian construction firm or the brecht or sale of the 1st fertilizer factory mr lasorda is officially being investigated by an anti-corruption unit of the finance ministry which serves pemex paid $475000000.00 for the fertilizer plant when it was only worth 50000000. big point is taking a bit of a breather today but has been on a tear almost breaching $9000.00 over the weekend because it is now up almost 70 percent for the month of may in contrast with the us equities market that is down on trade worries last week we saw
a big climb consolidating right here as it squeezes into a really tight wedge looking at the volumes here you can see a lot of horizontal support coming in here are levels with buyers as we squeeze here we're on the lookout for the next massive candle that will give us some sort of indication on whether we break up or break down well over the weekend we actually got that candle a nice big fat green candle shooting up right here breaking the wedge essentially and creating this very narrowing channel upwards now what does this channel mean this channel is actually created by higher lows right here this is a very bullish pattern that indicates that buyers are actually stepping in right here and right here and right here and they're buying at incrementally higher prices think about the psychology of price action here these aren't low. limit orders these are market orders of traders say yes give it to me here i'll pay more yes yes give it to me now they want to get filled right there the ceiling of this channel on the other hand is created by lowering highs actually they're kind of in
a holding pattern at around the 818300 level and you can see that you have an exponentially rising hiring lows that is actually outpacing the lowering highs and that traces narrowing channel upwards and this could actually take a few days to work out but we are within $10000.00 shooting distance now $10000.00 is the level that everyone is watching at that that level presents a significant level of resistance both psychologically and historically and as we approach $10000.00 we will most likely see some selling and profit taking at that level so that now brings us to what's behind this recent decline rally well this rally could actually be linked to the trade war as excel aeration coincided with talks breaking down between beijing and washington because it has proven itself to be a great store of value and there have been other examples where because value rose as traditional stock markets fell in particular we have read that greg that the turkish lira crisis last year argentina elections this year traders in china have
now confirmed that weekly volumes have actually spiked since the escalation and in response to the latest round of u.s. tariffs beijing has devalued the yen to make exports more attractive so to protect their wealth savvy chinese investors are exchanging then for bitcoin as a anticipate their currency to fall further against the dollar while the chinese yen slipped to its lowest level in the last 6 months many asian investors who have taken precautions are shielded from this and they've even benefited from this recent rally. sticking with the topic of crypto currency is custody has become become a big area of discussion in the traditional finance world the banks hold onto securities on behalf of their clients this reduces the risk. losing assets or even having them stolen this is not currently the case for crypto investment r.t. producer brant bora managed to catch up with alexander catch on chain custodian to
discuss how his company will help to resolve this major issue. so when these guys invest in crypto big. talk and security stalkings in the future we help them sleep at night so like this they don't have to manage their private case they don't have to put in place the operational and technological environment needed to do that properly they rely on us making sure their assets are safe you know this is a big deal because we have situations where you know with any crypto currency in general your wallet could be stored just articulator somewhere and could possibly be smashed up so whatever might happen and so you guys will help mitigate those issues that's right so we'd be we invest all our efforts and our attention on developing technology that not only preserve the essence of being from being hacked but also the operational environment in terms of people that when there is a redress busy to be effected it's done properly and the keys are not misplaced or the wrong address is imported into the system it's our job ready to make sure that
the assets are safe and can be delivered when required how important is this type of security within the cryptocurrency landscape custody in general is critical in my view in having some real institutional in money into additional money flowing into the industry so. there is a good analogy that alex the machine ski from the surface is using with is the before. relay race where the baton this passed from a subtle sheet to an arch is an artist an artist to speculators and then spectators want to hand it the baton to institution investors but they were not there why because regulatory uncertainty and lack of custody services lack of infrastructure so until the custody solutions are in place. ours and others are really trusted by traditional asset managers and tradition investors until then we want to have that inflow of institutional money and how do we get that proper balance where i'm not
saying that every crypto investor and everybody who's putting their money in crypto currency is in this position where they're like trying to stay outside of the system right now i'm not saying everybody is like that but there that was a lot of the draw in the early cryptocurrency years and now we're seeing more institutionalize action so is there a middle ground that we're trying to reach or are we trying to reach the point where crypto currency is as regulated and controlled as i think it needs to be i mean there need to be a middle ground these are different animals they don't be a different same. tokens can be security still can spend money can be used to talk and so and i think regulators do understand that at least in singapore they do when we have a regular discussions with them they ask the regulator through associations to make them understand the differences between traditional assets and how. privacy in terms of. some distinctions can be made the activities in crypto versus activities
in fact currency or investments in crypto and investment in traditional equity and fixed and you know you talk about working with regulators in singapore. you know the u.s. has one of the weird sort but you have tory bodies when it comes to this so we're kind of left out a lot of times when you look at where the i.c.l. market everything is going i mean do you see the us making those moves to. to create a proper regulatory environment for the crypto world it's a difficult i want to talk about regulators in the us because i'm not what i might want of course i'm joking but. it's difficult to know what they have in the head to be honest i think they the difference between the regulators in asia for example the regulators here in the us is regulators in asia have a risk based approach so they're not going to regulate unless there is. real risks and identified risk today they are in singapore they have ruled that there is no systemic risk of crypto in view of the capitalization today but they will keep an
eye on it they know there is a risk in terms of a military y.c. so for that there are structure there is. and they did they don't care about too much crypto when you talk is being bored by individual investors in singapore as long as it's done under traditional commercial laws and that you don't try to screw the customers so as long as you follow the basic rules of thumb for mercy and trading as long as you follow the basic rules of knowing your customer those regulators are fine it doesn't seems to be the case and in the us where the regulator seems to want to give an opinion on everything and anything and telling this this is under this regulation this is under dysregulation i think everybody would have would be would benefit from leaving letting it go a little bit giving a bit of breath. to. develop simply to develop and then when it becomes really something mainstream you can look at what is the risk and regulate according. as tech tensions heat up between the u.s.
and china a lot are held at international big data expo in the nation's kuwait's all province the media will host business leaders from around the world and they were welcomed with an incredible performance. check this out these are drones that floated across the sky to mark the conference the drones flew across the sky making unbelievable shapes and really giving attendees a great shot now the conference began on sunday but it will run until wednesday now that was actually spectacular the fact that all these drones are back war and it really takes like some sort of swarm intelligence type of ai to achieve something like this it just looks so cool and then if if the drone can be a point of light and it can change color then in theory you could have a flying video screen made out of drones and look at that just very cool that you make them make a world you make a globe you can make the words big data out of drones what it's on to be alive that's it for those time you can catch boom bust on direct t.v.
channel 321 dish network channel 284 streaming 247 on pluto t.v. the free t.v. channel 132 are as always had us out at you tube dot com boom bust our team the next time. what is it called in decline is magic internet a new type of digital currency decentralized digital scarcity chancellor. of 2nd for bankers call the genesis blog for reason to coin a civil disobedience a source of optimism because i can control my own financial destiny it's just a new way of coming to consensus is
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you. know. it is a virtual certainty that you will fight a battlefield for america some point your life the u.s. vice president tells military graduates that they should be prepared for active service around the world including in europe also. serbia puts its military on full alert after police units in kosovo enter the disputed territories surbiton dominated north making a string of arrests. and southeast asian nations fight back against a flood of toxic non-recyclable waste being dumped on them by richer countries. for the latest on these stories you can head to our t.v. .