On Friday, Treasury Secretary Steven Mnuchin halted a market selloff with a single word, "constructive". That lie was exposed over the weekend. The trade talks with China are not constructive.
Trade Lie of the Day Today
Trade Lie of the Day Sunday
We are definitely not where we want to be. Trump wanted a trade deal did he not? Did he get one?
Trade Lie of the Day Saturday
The US does not collect tariffs. They are a tax on consumers and businesses.
Note that Trump's economic adviser, Larry Kudlow Admits the Obvious: Trump is Wrong.
Lies of the Day Friday
Joke of the Day
Trump takes credit for performance of the Boston Red Sox.
Peter Schiff Rebuttal of Trump's Position on Trade
I agree with Schiff on every point above.
Trump claimed there would be "money left over"after feeding the world's poor to fund other needs.
“With the over 100 Billion Dollars in Tariffs that we take in we will buy agricultural products from our Great Farmers, in larger amounts than China ever did, and ship it to poor & starving countries in the form of humanitarian assistance. ... Our Farmers will do better, faster, and starving nations can now be helped. ... If we bought 15 Billion Dollars of Agriculture from our Farmers, far more than China buys now, we would have more than 85 Billion Dollars left over for new Infrastructure, Healthcare, or anything else.”
That's the biggest lie of all. Effectively, Trump is in favor of a tax on US consumers to protect his political base in the agricultural states from his unwinnable trade war.
Logic would dictate that you can only be beaten badly in a trade deal if the deal is closed.
Placing demands the other side will never agree with is not beating them badly.
Such foolishness by Trump is why he has not closed a single deal.
In Trump's perverse world there is a winner and a loser in every deal. In practice, both sides have to believe they gain, or they do not make a deal.
Stop the Damn Lies
Trump's trade lies prompted me to pen on Friday Dear President Trump: Stop the Damn Trade Lies.
The lies continue nonstop. More are certain to come.
In regards to Peter Schiff's GDP rebuttal, I said the same things in Explaining the First-Quarter GDP 3.2% Surprise.
Mike "Mish" Shedlock