the ride is over for over founder and c.e.o. travis colonic who stepped down from his position late tuesday the new york times broke the story early wednesday morning after learning that several major investors delivered a letter to callan and demanding new leadership the embattled former chief executive founded the ride sharing service in two thousand and nine and in the past eight years he's grown the company from startup status to being valued at nearly seventy billion dollars but he broke a lot of rules along the way and this year has suffered some damaging public relations blows been tangled up in sexual harassment claims intellectual property lawsuits and a federal inquiry into whether the company illegally used a software tool called grave ball to evade law enforcement agencies where ride sharing is not allowed callen it will still serve on a board of directors and says his love for her is what drove him to follow his investors recommendations to step down as c.e.o.

as the company tries to move past a turbulent first half of twenty seventeen and it's been years in the making but japan and the european union are closing in on a free trade pact according to japan's foreign ministry the two parties have been negotiating an economic partnership agreement or e.p.a. since two thousand and thirteen with goals of eliminating tariffs and improving investment rules the e.u. accounts for about ten percent of japan's total foreign trade so getting to this point is a huge accomplishment for prime minister shinzo on day it will play a big role in his avi nomics stimulus program and growth strategy and it couldn't come at a better time since u.s. president donald trump pulled out of the trans-pacific partnership agreement his first week in office the other members of the pact have been left scrambling to figure out what to do without the group's biggest economy the european union has been pushing trade negotiations on all fronts and strong took office and now it seems to be in the final stages with japan at the end of last year the two agreed to come to a. consensus by the end of this year. earlier

this week we learned that major u.s. investment banks could be closing up shop in london and moving to rival hubs like frankfurt all because of brics it on wednesday british prime minister theresa may try to ease the capital flight concerns with the help of queen elizabeth boom bust bianca she joins us for this story and bianca theresa may may be trying to lead her party but her party certainly taken a hit in recent weeks did she mention that at all today in her address she did publicly acknowledge that the recent election results were not the ones that she hoped for obviously but she's still very committed to negotiating a positive deal for the u.k. . following a handful of terror attacks in the deadly fire at our it's been a somber few weeks for the u.k. despite the series of unfortunate events the state opening of parliament had to go

on during her remarks queen elizabeth the second laid out all of prime minister trees of maize plans for leaving the. bill will be introduced to repeal the european communities that. provide certainty for individuals and businesses. this will be complemented by the education to ensure that the united kingdom makes the success of british it establishing new national policy is on immigration international sanctions clear safeguards agriculture and fishery is the queen stressed the importance of ensuring unity between england northern ireland scotland and wales as the region moves forward with negotiations and of the twenty seven bills outlined for the coming year eight of them were brecht's that related bills will focus on a range of areas from new immigration policy to international sanctions and so on

but you made a point to emphasize that particularly regarding security. the new law will ensure that the united kingdom retains its world regime protecting personal data and proposals for a new digital charter will be brought forward to ensure that the united kingdom is the safest place to be on. those remarks certainly stood out in light of the recent terror activity in the u.k. but not everyone was impressed by the conservative party's proposals. in some. good emphasize that. the queen's speech we've just. read through the program from our government it's lost its majority on apparently run out of all i do is. corbin went on to criticize how proposals left out schools and pensions and referred to the labor party as

a quote government in waiting. thiago we know that the conservatives lost ground in this election the past election in the u.k. and you heard labor leader jeremy corbin kind of criticizing the party but i understand that the conservatives actually propose a new policy for foreign investment what can you tell us about that rate so compared to every other country in europe the u.k. gets a lot of foreign investment opportunities a lot of countries want to get in and push their money in there however the conservatives are proposing a new policy that would allow the government to intervene in certain foreign investment projects as it pertains to infrastructure as a matter of national security for example a few months ago may herself approved a twenty four billion dollar foreign investment from china into a nuclear power plant and she herself said you know i'm going to give this the ok but moving forward we're going to be a lot more cautious on new projects especially if it's

a nuclear power plant i mean that's just a given but even for any other matters of infrastructure they want to give the government a little more control and she'll have to have some more people on her side since the conservatives no longer have the majority in parliament people are speculating the queen's speech that we were listening to was an indication of a hard it happening moving forward why is that well in her speech she mentioned repatriating powers over trade and customs and one of the biggest questions about the bracks it moving forward is whether or not the u.k. will have access to the single market and all of those trade opportunities when they leave based off the way talks have been going to looks like the u.k. isn't going to get that so based on the proposal in the queen's speech it seems like they're preparing to not have access to the single market when they leave and they're dishrag to create new trade deals for themselves all right. thank you so much. well hopes of improved relations between the u.s. and russia are once again being hampered with the trump administration announcing

a new round of same. and against both companies and individuals trying to russia canada has implemented some are saying stance against russia in the past but now some canadian companies are not falling for the anti russia hype artie's alcohol which has more for us from toronto alex let's start with the new sanctions implemented by the u.s. against russia what's the latest on that. we all know this happened on tuesday thirty eight individuals and firms sanctions popped up on them from the u.s. side these are all russian are obviously individuals and firms you know it's when you really look at it it's intended with the president petro poroshenko his visit to washington he's the ukrainian president these sanctions are supposedly aimed at the issue of the for enjoyment of russia. in firms. but more than anything else it's basically a cookie. but at the same time it's just an irritant it's obviously to the russians

seem to put this into their popped up now that's really faced back up you are saying should that other stations from other interests against russia how to really play that big of a brawl in the russian economy any. doing poorly is due to the oil prices has nothing to do with sanctions i've lived in a country under sanctions for nearly five years the president and her people they don't hurt governments they don't leaders and countries have been working at the same shit so waiting for somebody else while it's a poor example in a debate really simply just that does not work we've seen it time and time again any way they turn this around we know that the president is still planning on beating president vladimir putin sometime in july that's when the g twenty meetings or so that's probably going to go ahead but for now i mean is what's going to be accomplished by this it's really not very much it's just another another in

a relationship between russia and us and it really was unnecessary if according to many critics i think you asked but it's a symbol of not necessarily that impact is going to come from that but as we were talking about because you're sitting in toronto for us canada also have sanctions against russia but there are many many to do business between the two nations and that's what the way information is out there. well the thing at this juncture that canada has because for pretty much the same thing that i just mentioned with the u.s. because it is against firms it doesn't mean that there's no business going on as you usually but as you should say so we're hearing of a company that wouldn't it's because you can't but if they cut and whitney and a russian company and the aerospace company that builds planes these two companies . are show. of understanding i know of your pick. and it's just one of those are pretty much that the british proposal. is it is

important it's an important deal sometimes when you see two companies like that that's sitting down and earning something like this it's a major step forward so this is about one in particular it's the one for one hundred it's a regional turbo prop plane that these two companies actually worked on back of the late one nine hundred ninety s. and early two thousand they actually built this plane they've flown over one hundred thousand hours in the air this thing is tried and true it was built and is it was back to stand under the illusion and we know that there airways actually did end up buying some of these planes back in two thousand and two now this many years forward we're looking at a plane and they're re of or i should say the rebirth really of this project to to work together on this plane it has the distance you can fly it's pretty incredible forty five hundred kilometer range for a turbo prop plane is something that's very interesting to both russia where you know if you can understand the distances within russia if you're flying from the place to place as well as here in canada and in the states i mean we're seeing

a lot of regional flights and this is one of those planes that is fantastic for regional flights so this type of cooperating cooperation is still going on yeah we're hearing about sanctions we're hearing about people getting out of the loop but believe me there's still a lot of companies that are in in the loop and a lot of companies that are doing business with russia both from here and from the u.s. sounds like there's a lot less hype north of the border artie's alex the holidays thank you so much for coming on today. thank you all right well coming up after the break federal interest rates are on the rise but is the timing right for an increase or is the fed more optimistic than it should be my next guest and i discuss what's next for america's economy will it continue to boom or fazzt and big coin is becoming legal in the world's second most populous nation what that means for the cryptocurrency as we go to break here the numbers of the closing bell.

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limited little going on in james olmos does she don't come soon don't you been talking to the edge of a deal in the sand on the person in that equal distances wasn't what he was and still some people are going on in condolence to swindle. tell him to will the live up to those old wooden men as a sign this is a downside acid all to the sitting on. the war hawks selling you on the idea that dropping bombs brings produce to the chicken hawks forcing you to fight the battles but still. the new socks for the tell you that will be gossip and published by files before they. buy them off the bad guys and tell you on the cool enough and let's fight their profit.

these are the hawks that we along with are on the watch. asian stocks took a dive wednesday reacting to a shift in china's stocks and yet another drop in oil prices the nikkei fell point two percent south korea's coffee dropped point six percent and hong kong's hang seng index dipped point five percent the markets moved after global index provider m.s.c.i. announced that some of china's a shares will be added to its emerging markets index after years of being rejected the move certainly please chinese government which has been trying to expand capital markets for quite some time but it did little to entice investors considering the decision did not catch anyone by surprise of course oil reaching

a seven month low hasn't helped asia's market strength libya and nigeria have increased its own production pushing brant crude to forty five ninety eight a barrel and west texas intermediate to forty three fifty two a barrel some analysts predict the price will drop into the upper thirty's before it gets any better even a new crown prince in saudi arabia couldn't move those oil prices while the price a bit coin is bounced back with news india's government plans to regulate the crypto currency the country's starting a task force to create the frameworks in hopes of fully legalizing bitcoin for its more than one billion residents coin previously operated in india unregulated this move will lend legitimacy to the digital currency reached an all time high of three thousand dollars just nine days ago but plummeted on june fifteenth in part because it's exchange site crashed the announcement from india's government on june twentieth has helped coin regain some of those losses india's big corn exchange market is believed to be responsible for more than ten percent of bitcoin to dollar

transactions worldwide meanwhile a bill introduced by u.s. lawmakers last month would require people to declare their digital currency holdings at the border bringing coin and others under federal scrutiny so. person entering the country has more than ten thousand dollars worth of bitcoin they'd have to tell authorities if this bill becomes law well while india's plan to regulate has opened up the country to big point for more business cryptocurrency advocates would prefer a regulation lite environment in the us the bill hasn't gone very far so far it's currently is sitting in the senate judiciary committee for consideration. for highs monday meanwhile all indications point to the federal reserve being on track to again raise interest rates around september october the fed just raised it to one point two five percent last week the highest it's been since before the two

thousand and eight crash in addition to raising rates the fed announced plans to start reducing its balance sheet meaning it's going to start selling off its trillion dollar bond portfolio later this year these are bones the fed bought up following the great recession to try to keep interest rates low my next guest is concerned the economy might not be strong enough to handle this next move in or hawkins founding partner america's advert advisors and author of continental investing joins me now live or thank you for being here before we get into what this might do to the economy i want you to break down real quick why the fed started buying up all these bonds in the first place. well the fed had in mind that there was a couple of ways that you could keep interest rates really low the first obviously is the traditional route where they lower the fed funds rate and that helps keep the short term rates down and the idea is that that's going to help with the longer term rates but they started getting that lower lower lower and eventually run out of room because they didn't want to go to negative interest rates so what they started to do to push those long term interest rates down was to start buying up

long term bonds they bought out longer term treasuries mortgage backed securities even it at some point and they did that because they thought if they went in and they became a big buyer. there are of these bonds with a big buyer you're going to have prices go up and when prices of bonds go up the interest rate would go down and now it would help stimulate the economy because those low interest rates. get people. to invest and they'll businesses and buy homes and it would get everyone standing in growing and so what the fed is saying is that they're trying right now to normalize the balance sheet getting it back to before the great recession but what's abnormal about how this was structured in the first place to impact the economy. to put it in context before they started all this quantitative easing the balance sheet effect of the assets on the fed and those are excess reserves from banks it was around nine hundred billion by the end

of q e one q e two in q three they've gone from nine hundred billion to four point five trillion so that's a massive increase and that we've never done anything before like that that we know no central bank and every time something like this they go they did it with the idea that that was going to push interest rates down but if we actually look at what happened yes we did see a little bit of interest rates coming down with the first round quantitative easing one q one but in what we saw them going into it again for q e two in q three when we saw the rate of change meaning the pace at which they were buying up these bonds and they saw their really increase we actually saw real interest rates and if you look at religious trade as the ten year subtract the ten year interest rate then you subtract c.p.i. which is kind of a good measure for inflation so you get a real interest rate that's after inflation if you looked at what happened when the fed was really interesting its knowledge each of buying up like crazy at least take

a look at what was happening with real interest rates religious rates were actually rising as the fed was doing the same sort of counterintuitive this exact opposite of what the fed intended to have happen or what they said was going to happen but if you think about the mind of an investor it actually makes sense because the fed is telling you that hey we want to get the economy going we want to get people buying stuff like crazy really want to just ignite a fire and this thing that also is reflation ery if the economy's going to get going like gangbusters and if you're going to start seeing inflation and if you recall back in q one two and three were happening everybody was worried about inflation we're going to have inflation and you have an economy we've been really crazy you don't want to be in bonds your don't want to be in stocks so we saw it was investors listen to the fed the fed said i'm going to give us the. investors said sure sounds great i'm out of bonds and i'm in the stocks so what we did was the new york if you look at the new york stock exchange composite which is a really good broadband measure of kind of all equities in the u.s.

that moved very well in correlation with the fed's balance sheet so as the fed added on more assets all of that came with put it in the fed buys a bond it puts cash out of the economy all that cash went into stocks so now what's going to happen if they start selling off all of the value of these bonds and we're talking billions for a trillion dollars in holdings so what they're going to do as these bonds mature so the bottom it sure is and they get say it's a thought worth a thousand dollars a year when that bond that sure is they are not going to take that thousand dollars and go back out and buy another bond and that's what they've been doing so when they don't when that thousand dollars comes into the fed and they don't go out and buy something that made the thousand dollars come out of the economy so you're reducing liquidity and at the same time they're also raising interest rates which in effect also helps to reduce liquidity so you have to do things happening that are reducing liquidity and you're telling investors that we're going to start

tightening all of this we're going to start those loose credit conditions that they want to get the economy really going where they're going to tighten those and they're reducing liquidity if you're an investor and you're looking out of the economy right now that's got to have you concerned we were seeing that if you look at the city being economic surprise index that measures how much the new hard data the actual what's going on in economy how much of that is coming in above expectations versus below expectations eleanor that we started off with the point that the fed has been raising those interest rates is declaring a sign to the economy saying it is strong enough to handle it we are trying to get the economy back on its feet as we've talked about they kind of artificially manipulated the economy after the great recession to try to prop up the economy after it had such a big tanking effect back in two thousand and eight so isn't this just a sign that the fed saying the economy is strong enough to stand on its own. i think the fed saying that it hopes it's strong enough to stand on its own but at

the said same time the fed is showing us that our in the our actual g.d.p. growth is below two percent in the first quarter was what a one point two percent the atlanta g.d.p. now is expecting it to be one point nine in the second quarter in the forecasting one point five in the third quarter that's below two percent you're barely treading water and we're seeing a lot of economic signs are actually rolling over and you're seeing consumer credit demand is slowing you're seeing corporate demand is slowing in any fracturing levels are back where they were in two thousand and five you're seeing the auto they used car prices are really plummeting so we have all these signs that the economy is actually slowing significantly and on top of that we have a ten year interest rate that's really really low i won't point two percent and that's after three point five trillion dollars in stimulus doesn't sound like it's going very well but with the fed's really doing it i think is that they're worried about what happens when we go into the next recession this is the second longest

run we've had without going into recession in history so they know recessions going to have to come and it's probably twelve to eighteen months away when that happens they want arrows in their quiver they want to have interest rates where they can lower them to help stimulate the really worried about having this enormous balance sheet that they can play with me on not to be grim but as you mentioned the longest period of economic growth at this country has seen was ten years right now we're sitting at about eight years so we are expecting in the next one to two years for this economy to start slowing down isn't that right. yes absolutely and one of the things that i also think about is so we were producing all this liquidity you're raising the rates your contract in the balance sheet says reducing inequality in your tightening credit conditions on top of that the trap administration wants to repatriate all those dollars that are offshore and they want to put up trade barriers so that our trade balances more and are able to do the stagings bring all

that money from offshore in anything reduce the trade barriers that's going to be. outside the country if you have less dollars outside the country that means that their demand is not going to get the same supplies so the price of the dollars go up if the price of the dollar goes up that hurts our export because our exports a lot less competitive and also hurt the global economy think about the price of oil which is already if the dollar and the price of oil becomes priced in. this. even further i got a. lot of dollar denominated debt in the church and it gets over marks and seven that makes our economy is even weaker so there are some. pretty skeptical with interest rates just last week and then announcing that they're pretty much on track to raise it again as i mentioned in september and october now when that announcement last mughal for a little bit but then we saw the record highs come monday so are we seeing

a disconnect between what wall street is casting or the confidence that wall street has in trading and maybe what's happening in the global economy. we've seen this time and time again nobody wants to be missing out when they gain gets really good in this is that last round of musical chairs and almost to call it quits when or hawkins founding partner of merit. and author of cocktail investing really appreciate your insight today thank you so much. holy guacamole avocados we love them we put them on our toast in our salads let's be honest they make a great game day dip with it but they are extremely expensive and three men in california tried to take advantage of the craze no these are not the heroes of our story in fact they've been arrested joseph ellis carlos chavez and raheem along they're being charged with what police have dubbed grand theft auto see what they did there the men have allegedly stolen and sold more than three hundred thousand

dollars worth of all because those from their employer mission produce apparently they were taking boxes of all the cotters worth fifty dollars and selling them for twenty to thirty bucks well below market price to unsuspecting customers as they say if the price seems to be too good to be true it probably is but the demand for the green fruit is that an all time high strikes and bad harvests have only increased prices the california avocado commission estimates that from twenty fifteen to twenty sixteen. the value of that year's crop was worth four hundred twelve million dollars all right that'll do it for us for now and check on the show on you tube dot com slash boom bust our teeth thanks for watching see you next time .

the market is a hundred billion and growing by leaps and bounds. as we've been talking about for years now this a lot going on here and it's. the bus tour of the that's one of the. initial. twenty of the. candidates so private is the symbol of the. liberal majority the pulse of coalition governments the prime minister. just a few months ago the prime minister won with some be a twenty two percent of the vote and he's still trying to put a coalition government. so the hypocritical of the europeans to say may doesn't have enough to the majority in most cases they do and.

what politicians do. put themselves on the line to get accepted or rejected. so when you want to be president and you. want. to going to be for us this is what before three in the morning can't be good. i'm interested in the waters of. the city. let's talk about blackness and the blues of being black. and always well in a big house down at least that's what i've been told but it was simply that we in remains as such because we simply forgot. the scene we've allowed them to rearrange our paint you've told us the sickness of trusting our enemy we came to face. him that's what i call a lack of blackness or understanding the blues of being black. sheep the blues of

being black should mandate that we attack knowing how when in what to do to come this simple in his national is be black is simply to the feelin blue is black and blue. believe. me. the fact that from the get elected with a series of wise and distortions you. could be convinced by that and what we really need to do when one of the reasons aside i'm interested in this is we really need to get people to apply the same standard supported by design skeptical inquirer empirical testing and evidence for what you're falters.

new evidence suggests victims of the london towering inferno could have done through just cyanide poisoning the hundreds attend a day of rage and long and demanding justice for those affected by the fire. so getting away with it is still. a great people not the parliament it's a good people to please. me wall street its foreign minister has said muslim kindergartens should be closed down. and american forces in yemen have reportedly been involved in the interrogation of detainees in prisons where torture allegations are rife.