The Briefing Room: Celebrating H.W. Bush, US Markets and China tariffs, Mueller investigation
The Briefing Room: Celebrating H.W. Bush, US Markets and China tariffs, Mueller investigation What a great to have you with us on this Thursday, as we now say, a final farewell to a president, 41 former President, George Herbert Walker Bush, making his way right now, the casket and family on board a train live picture. The train 4141 rumblin across Texas through what looks to be some rain showers there. There was a family funeral service this morning in Houston. Now, on their way to the bush library, you can see in this life picture people turning out some really stunning images of people paying their final respects across the state of Texas. Today, a thousand people earlier today at that prayer service at the Episcopal Church of the families Episcopal Church in Houston, do presidential funeral trains in American history in this is one of them. Only eight times has this happened to Abe. Lincoln was the first essentially American about the images that were seeing their of the train of people turning them. Turning out, we remember famous images like RFK funeral casket set an error that could not feel further from the current error in politics or some way it feels like an appropriate conclusion. Is his Reign Rumble through Texas, very well said, and that meet engine there 4141 emblazoned in the colors of Air Force, One the blue in the wife, as it makes its way it will arrive just in a couple hours time at the bush Library in College Station. Texas, the former presidents final resting place, will be a private family ceremony. There is he’s interred next to his wife of 73 years. Barbara Pierce bush commemorations a little bit later in the show, but want to listen big breaking news happening on the markets right now. To take a live, look at what’s going on on Wall Street right now. The Dow, as of a few minutes ago, was down over 400 points, looks to be making a little bit of a come back here in the 200 range of at this, on the heels of Tuesday’s loss of 800 points to write about a thousand points. So far this week with bringing our chief business correspondent, hi, Rebecca Jarvis Rebecca, were all watching are 401ks with great anxiety. It’S the holidays. How concerned we need to be right now, give us some context about this situation happening right now with China and US Chinese trade relations and to put into context especially what’s happened in the last 24 hours, the CFO of Huawei, which is one of the largest smartphone Makers in the world was arrested overnight. Huawei, a Chinese company, one of the largest companies in China and the question now is in this delicate conversation that the United States has been a part of with China really for many months now, but frankly, coming out of the G20 Summit. President Trump’s meeting with China’s president XI, it looks like coming out of that meeting at the White House was extremely optimistic about a deal. We had a 90-day tear of truce on the table, but in the last twenty-four 48 hours between this arrest, as well as some of the additional information that we’ve been getting from the White House. Frankly, in the form of President Trump’s own tweets. It’S starting to look like that deal might be less likely and as a result of that, you’ve seen the market really react. That’S why we saw the 800 points sell-off earlier in the week and today we’re we’re seeing a bit of a sell-off. I would point to the fact: things have been coming back there still about 30 minutes left in the today, and one of the things that’s happening in the backdrop of this entire conversation is a question around the US economy itself. How is the US economy going to do next year and if you look at most of the forecast in the project, things are really strong right now, overall, if you look at the numbers, the unemployment rate in your a 50-year low, you have wages Rising the holiday. You brought it up at the beginning of this segment, Devin holiday sales figures have been coming in strong, but the is this is good as it gets now. Part of you know, you might call it optimism in the market right now. I wouldn’t necessarily clarified. Is that, but the fact of the matter is it, it was looking a lot more dire earlier in the session and part of the reason that the is down a little bit less right now, some might say, is because we’re getting a jobs report tomorrow from the Bureau of Labor, as we do every month, and this one will look back on the month of November and by most accounts most forecast relatively strong jobs report so Wall Street investors. They don’t want to go into a report like that that might come out extremely positive. They wouldn’t want to go into that extremely short, because that could be really dangerous for them and their position, but if you think about it from the standpoint of your own retirement savings, Your Nest Egg, where we are right now, basically, is that 2018 is a washed. But all of that early optimism that started the year as far as the stock market is concerned, many days of Ops in a number of record highs over the course of the year. Most of that is now gone because of the activity that we’ve seen over the last three months in the market and basically wear that 401k weather account is today, is where it was at the end of 2017 Devin, giving advice of a good financial planner just stick. It out it, what goes down must come up, he just posted. They said it’s the worst time to make money in Market since 1972, sort of a Stoner. Do you agree with that? But the point here is as follows: this year there have been these high-flying stocks that bit took us at the beginning of the year. All of these tech companies, the Apple, the Amazons, the Netflix’s, the Facebook’s of the world. They were the High Flyers. They were flying high last year this year they were these top performers and then all the sudden, something changed and part of that again has to do with China. These are all multinational companies they they make, some of – or I should say most tech companies or multinational. Most American companies in the S & P 500 are major multinational companies and they make some of their money from China and the trade dispute, the more prolonged it becomes, the higher accost it has on those businesses create uncertainty for those businesses going into 2019 when they Think about how they’re spending their money and, where they’re investing it’s not clear, whether their will or will not be tariffs on the table. Whether there will or will not be an agreement, makes it very difficult for companies to plan the other thing that’s happening. In the backdrop here is that interest rates are rising and we have now been in this environment of rock-bottom interest rates for the last 10 years, so you could go out, get a 30-year fixed-rate mortgage if you had really good credit for 3 %. Well, that’s just not possible anymore, as interest rates go up in the FED has signaled that it will continue to hike interest rates going into next year, and that just means the cost of borrowing becomes more expensive and is the cost of borrowing becomes more expensive. Businesses spend less money and consumers spend less money and something that’s really key for anybody who’s watching this right now to think about is even if you have any money in the stock market. You yourself are a very important part of what’s happening in the US economy. Right now, because, as an American Consumer, we are spending our Behavior actually dict about 70 % of our overall economic growth, meaning how we behave if we choose to buy a car or a house, or we choose to shopping this holiday season or we’re not being fiscally Responsible personally, that has a major impact on growth ahead. Two and one of the questions is as more and more people watch this Market, even if they don’t have money in it does seeing the Dow drop, create a sense of less confidence and will that then translate into next they’re spending less money, less bro coming back Up, that’s a good sign after the 800 Point loss on Tuesday, so we will hope for even a Rosier picture. Tomorrow is Chief business, correspondent, Rebecca Jarvis. Thank you so much for backup for your words of wisdom and guys. You know this issue. China is all the sudden reared up its head at the end of the year. The president has been in a dance with trying to wreck since he became president, but it sort of came to a head after that G20 Summit. Now it’s really spooked markets said very little policy. This week we spent so much time remembering George HW Bush, and he was there at the at the at the funeral service. Yesterday, it seemed to have had an impact in the market to the present is not really tweeting much about the stock market generations of the last couple of days, but that’s her to play it off. In the background, and clearly a lot of investors and watching advisor to President Trump on China, somebody, the present is called probably the leading Authority on China. It’S Michael Pillsbury. I joined us now in here in Washington, Michael, thank you so much for being on your a senior fellow at the Hudson Institute, obviously guy in the first Bush Administration. You are well regarded as an expert on China to miliar, with their games. Give us your take on what the markets are trying to interpret right now, the mixed signals coming from this white house. Where do we stand in the truce that was announced just a few days ago in Argentina, real ask for an explanation and her immediate-release. It sort of a contradictory to demands in some sense to ask the reason: why do you think that a rest of of that executive that Rebecca Jarvis was this town is about? Do you think that’s an accident simply a coincidence that this is happening at a time when the, when the president is doing this dance on tariffs, or do you think this is part of a coordinated strategy by the Administration to pinch the Chinese book with tariffs and Also, some other tactics like this turkey to put pressure on China so that the United States does not lose its technological lead in the world is pretty serious and President Obama, the indictment of the house and other companies. Stealing Trade Secrets is a strong desire to stop this, the Chinese consenting to these talks and agreeing to the 90-day what they call the roadmap. It’S really very positive news: the relationship between President XI and President Trump, what crucial they both effusively praise each other. The Chinese side is been saying for several months now. That Trump is the smartest president they’ve ever dealt with, so I remain optimistic about the grand strategy working the president called himself a tariff man earlier in the week. What does that mean to you and what does the message have to be to investors or consumers about the possibility, even the likelihood ability of being territorial, a being imposed on goods and services? I think the issue is how much pressure to put on China that actually works, so they can make calculations of the effects that Arabs will have in various levels. In Paris, Chinese growth rate, Chinese losses. You know they have a system about 100 national champions. A national champions means a company that supported by subsidies, the Chinese intelligence service will steal for it and bring it Trade Secrets. He’S national champions are Western State and the Chinese don’t like the tariffs, because it affects these national champions. In fact, frankly, the American side is said these tariffs so far are punitive they’re not designed to protect American company Industries unfold over the next ninety days, President Trump put in fact increase pressure and lasiter lighthiser to start hearings. Public hearings are required by law. Put on for another round of tariffs, much higher cover many more products. On the other hand, to be positive if the talks go well. The whole point is to have a cease-fire to reduce the Tariff and 0 trade barriers as the ultimate goal here. So I don’t understand this, this kind of Fate, hardness of so many people in the stock market. Optimism in that bought your 90 days, part one of the terms, the White House. I was in Argentina with the White House on this one. They said in a statement that President she agreed to some unspecified amount of agricultural Ultra Imports, Auto Imports from the United States. As part of this deal, did you have any better sense of what the specifics are? There did. Did the u.s. get its significant concession from China here to give a press conference he’s delayed it out of respect for President Bush’s funeral arrangements, and the other point is that the two sides have different versions in public of what they’re saying happened at the dinner, and This is very understandable, tiny side. There is a power struggle going on over there, president, she has had a number of people removed. He obviously wants to explain this with his political enemies, criticising him for making too many concessions. There’S no paper to support it, and both sides are talking totally differently about that’s the whole point of putting Ambassador lighthiser in charge, trying to seek and detailed agreement that will have verification. It will be specific. This is what a master lighthiser and his team at the US trade representative office specializes in, and he was a genius with his negotiations with the Japanese in the 80s under President Reagan. So that’s the whole point. Now we have these bags pictures of on both sides of what they’ve agreed to Ambassador lighthiser is going to produce a written legal document that will be important and we know you will be there all along the way. Michael Pillsbury, it comes out, but thank you so much for coming on ABC newsline Chinese shifting gears a little bit of major headline just a little while ago, ABC News confirming and matching that the president is likely to name Catherine father’s. You’Ve done this reporting a new attorney general, replacing the app original Matt Whitaker, William bar Bill bar he’s, the former Attorney General under George HW Bush, and what we’re hearing from our president just happened next week. But, as you know, he can change his mind. But as we were discussing earlier, you also has mildly criticized special counsel, Robert Mueller remember when Jeff sessions was forced out nearly a month ago. The main reason that the president never dropped. This was sessions was because he refused himself from that probe. So he’s a bar has told the New York Times that there was more basis to investigate Hillary Clinton, for example, for the uranium one deal then to investigate Trump for a possible ties to Russia. That’S something the president has to have in the back room tonight. Farmable figure he is in Washington Circle seen as a serious person, but also sort of his captain was seeing a spouse’s. The president’s views on some of these controversial investigation defensible based on the facts that were they are tomorrow time that he’s been serving in that job. Over the last month, that would have been a real struggle and there are a lot of Hill Republicans W very comfortable, particularly in this week of remembrance around George HW Bush, to reach back into the past to find someone that did definitely knows what he was doing In that job are is nominated and if Bill Bill bar is go through confirmation hearings before the Mueller probe is completed, he would oversee the Mueller investigation. Guy says turn to that. There is. There are some big developments coming tomorrow in the Mueller investigation, which could give us a latte formation Kathryn. We expect the Mueller team to do some court filings that could reveal to us the direction of the investigation and just how Cooperative some of President Trump’s former Associates. 70 hours, so his sentencing memo is, do they have to submit that molar and prosecutors in New York by 5 p.m. tomorrow. So that can detail the level of cooperation and has been discussing with the special counsel. The President says that he wants his former attorney to go to prison for this, but the other big thing is the presidential campaign manager campaign chairman Paul manafort. He was revealed that he was a cooperating witness broke down. I’M in Moore says that he lied about multiple topics, so the attorneys for manafort a claim that they don’t know those lines of those lights haven’t been detailed to them about tomorrow. The special counsel that says that’s in their filing that they will lay out everything. Former FBI director, James Comey, will be out by Capitol Hill for one last hurrah with Republicans formation out as publicly as possible his decision to comply with its meat at 2 to talk to house Republican available to reach into the past. Something tells me that has the opportunity to speak a little more loudly than even Comey rain. Tomorrow, I transition to the new Congress in January and guys one of the biggest things obviously is funding the government through the end of the year in the 2019, they officially bought themselves sometime today, the Senate approving a short-term fix, but they still have the sticking point Of the war Rick going to be pretty Epic on Tuesday, when the Democrats, Nancy Pelosi, Chuck Schumer head to the White House to meet with President Trump without any Republicans, that’s just going to be the Dems in him next house, speaker on when the Democrats take control In January is saying that she does not want to see DACA recipients tied in any way the so-called dreamers Bay tide in any way to Walmart or separate issues right now, because the present is made clear that he thinks there’s a deal to be had. That brings them both in that he believes he was close to a deal with Chuck Schumer on that on the Senate Democratic side before Nancy Pelosi is now saying. Look that is not the dead is not how we’re going into this. So all funny you can’t imagine Democrats giving a lot of help to Republicans now and they’re going to be in a stronger position before leaving town for the weekend deal as what we want in this negotiation. I think I can say I wouldn’t be a surprise. Anybody if we’d like to just go in and say it’s December, the time that we’ve lost now on another week. I mean in the purpose, but none-the-less we’re getting closer to win. This CR expires and extending it for 2 weeks and and in that 2 weeks we have within that two words, I wouldn’t even say the out possible de. But within that two weeks we have before us all of the factors all of the issues that we need to make a decision about. How much will President Trump, except for his wall, to give him his little as possible White House wants five billion dollars. Where is that sweet spot going to be event at Republicans? Who we’ve been talking to up on the hillside? The same you know this is really between the president and Chuck Schumer, and now I’m Chuck and Nancy. So we’ll see what comes on tonight. So much between us a burden and today with another look back at some of the images and sounds of the poignant moments of the day here is. Is the country continues to remember George Herbert Walker Bush and will leave you with that from some of the ceremonies today down in Texas? I think he’s he’s funny. He’S straightforward he’s all business when we working done beat around the bush. A lot done. Take a long time to make a decision. George Bush isn’t just a President Who promoted the ethic of service long before it was fashionable. He’S a citizen whose wife has embodied could be so strong bad. I am proud to be your son. The latest politics headlines from Washington, D.C.
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