that is leaving the business world on edge investigative journalist ben swan is on deck today that analyze the habits of these corporate characters and what their worries is and falls mean for markets some market watchers say the valuation of today's show is still rising even as it starts let's go. market sentiment once again has swung towards optimism as hope for a potential trade deal or at least a partial one between china and the u.s. lifted moana anthem chinese importers ended up buying 10 boatloads of u.s. soybeans and granted new waivers to several domestic state and private firms that exempt some former taliban terrorists this morning open sharply as momo goes follow with what he's up and safety is like gold and falling but this was short lived as that pup was then quickly sold and the s.n.p. once again dropped back below that key 3000 level guest traders have now learned not to get caught in the trade talk whiplash as the tide can quickly turn in an instant with a tweet the market sold off as transplant china at the u.n.

speech accusing china of state's subsidiaries. and unfair trade policies. not only has jhana declined to adopt promised reforms it has embraced an economic model. he penned a don't massive market barriers heavy state subsidies currency manipulation product forced technology transfers and the theft of intellectual property. and also trade secrets on a grand scale. the market is still on edge as the repo market crisis continues to persist despite the 400000000000 dollars already pumped into the system by the fed over the past week this temporary problem this technical glitch is not resolving itself as they previously reassure the markets that continued rhetoric from the fed was that everything's under control and that these are merely short term funding

shortfalls that will soon disappear once the tax payment and bill sediments were absorbed well that has all been proven false instead the dollar funding shortage is excel orating as both overnight and term a both were both oversubscribed today there was a total of $142000000000.00 of funding needed on tuesday the highest yet the fed just announced its 1st $30000000000.00 term april operation and that was the 1st in over a decade and in merrily 30 minutes it was more than 2 times oversubscribed now why is this so alarming the rebuild market is basically the grease that keeps the global capital markets running and this tightening this glitch is very reminiscent of what happened in 20071 of the earliest indications that there was the problem in the financial system while the causes between what happened then and now are drastically different can we really ignore this and say that there is nothing wrong

with the underlying credit concerns. and now with more on the state of the global mean we welcome back steve came the crowd funded professor of economics on patriotic i am the author of can we avoid another financial crisis. so steve we just talked a little bit about the dismal outlook of the u.s. macro's so do you think that we are headed down the same path as europe now now that mario draghi who was once mr ballen doing basically whatever it takes injecting trillions of years in to try to stimulate the market but at the end of the day the eurozone is still in trouble with germany the largest economy contracting and on the brink of a recession so is this going to be the same story now in the u.s. that we have now become so are responsive to stimulus. i think it's really different because germany is going to double inflicted wound the main inflicted wound of the global financial system is allowing a private bubble which is still being annoyed by everybody except

a handful of commas like myself and michael hudson the private debt bubble explode and burst bank in 2007 and now in the aftermath we have still so much profit did and very little credit demand and that's why the economy is so sluggish and really the only way to cure it is to drastically reduce that level of profit did when at the same time what the fed's doing a modem or druggies doing as well is trying to encourage more borrowing by the private sector so that's the overall i think the reason for the paralysis of the global economy germany has that by having a fetish about running a balanced budget now there's no danger of that in america so that means is the german government as well as having a name make the mistake demand and a fall in its export demand is also cutting back on its own economies expenditure by trying to basically not spend any money into the economy just to fund itself i checked the u.k. or the us on the other hand is running quite a substantial. government deficit and that is stimulatory so between the 2 i think

germany is in worse self-inflicted shape but all the countries of the world that got involved in the financial back in 2007 are still carrying so much private debt and doing nothing. about it and steve speaking of germany's predicament the risk of germany falling into recession or i should say the chances that they are already in a recession seem to be rising by the day earlier this month the finance minister told said that germany was ready to pump many many billions of euros into the economy to counter any slowdown in growth but then on friday the government said it would be sticking or reverting back to its traditional black to 0 balance budget policy that you alluded to what do we make of this what does this mean the german policy makers simply willing to allow germany to fail and one of the contagion effects of this kind of uncertainty. well i mean window please said it best and not in 92 describing the. very week that the master treaty was sawn

sang that is effectively not in so many words but a suicide pact when you when you are dejected is to save money that works fine at the individual level you can spend less than you and and therefore save money but at the aggregate level if you try to save money you'll make bank increasing prices somebody else will fall by exactly as much if everybody is trying to save money all that happens is income fulls and unfortunately the german society was so badly scarred by the weimar republic period that this still terrified of inflation when this suffering from the flesh so this this obsession about saving money its actual outcome is to reduce pay and germany the monetary authorities seem to have realized that to some extent was rocky's statements but the fiscal authorities are still stuck in this terrified out issued towards ever spending more than they get back in taxation when if you look at the american economy for example 420 years the average

scale of the american deficit outside wall periods has been 2.4 percent of g.d.p. so it's normal to run a budget deficit germany's doing the abnormal and suffering because of it. so germany right now is highly correlated to the emerging markets so how is this going to affect. germany mainly benefits that us to get exporting industrial. machine tools and so on to the 3rd world and particularly to seanna as long as china still expanding it will have that expanding trade with a bit of balancing it's to mystic constriction but it appears that germany as well as having tried to run a big big big government surplus wanted to run a deficit is also losing its trite surplus over time and may end up going in to deficit as well which will just comments on problems i think came in that cayuse. germany won't cause a downturn in the in the developing markets botch it won't be rescued by

a downturn there if that happens is you demand for exports which exports will fall on small and steve china has announced that they are in no rush to follow the rush of central banks cutting interest rates we've seen that in a number of global central banks is it surprising that they are all opting for arguably fairly conservative measures rather than flooding the market with stimulus support. yeah i think there has to be doing some strange things right now i mean the move they made last week or a couple of weeks ago to reduce the reserve requirement implies that that actually stimulates lending which it doesn't do so i think to some extent the chinese seem to be in a bit of a quandary they got out of the financial cross a speck in 2008 by dramatically expanding credit it was the biggest credit bubble in the global economy is history that's now rigged reaching its and and i don't really think the chinese are quite sure of what to do. and finally steve we would be remiss if we didn't ask for your take on now the news on the u.k.

out about the program of the parliament by prime minister boris johnson do you think this move put us any closer to resolution or is the u.k. still on cruise control headed for rocky shores on october 31st. a concert of them leaving the european union of the 31st now because there's no there's no deal there's no bid you're already in parliament for a deal and at the same time parliament does one have an early election because they're afraid of germany called and winning the same time is that even despite all the gaffes that johnson has my he may well win an election given the bizarre 1st past the post system that applause in the u.k. and the fact that he is firmly fabrics and so i think it's just put off the inevitable for a bit longer still i think ultimately there will be an election called. who can win is a crapshoot to some extent but it's quite possible boris will win and still not have a majority to push through

a duel in parliament so this is just an imbruglia that seems to have no this is why waiting for goto the eternal fly it will never end steve king with a great reference author of can we avoid another financial crisis thanks for your insight. prosecutors in germany have filed charges against top executives at volkswagen they have accused them of market manipulation and the scandal which has cost the automaker billions of dollars since 2015. infamy and. i would like to inform you that the prosecutor's office in front. charges their market manipulation against. her winterkorn unclog and dr d.c. to the contrary to their statutory obligations to mention the current or former members of the management and learn and didn't deliberately inform the capital market. substantial payment to the billions resulting from the discovery of the so-called diesel scandal in the us of having unlawful easily and share prices and.

mar we are now joined by our team of alex the hell of it and toronto so this saga has been going on for 4 years now what does this latest news mean. yeah this something that just isn't going away for volkswagen as mentioned you know this is one of those scandals that's ongoing and on top of that look new charges we're talking about this slow leak that happened according to the courts or i should say according to prosecutors what they're saying is that you know the executives were really slow to release information about what was actually going on at volkswagen this of course affected the stock it was a manipulating the stock prices and they were slow to release how much of this was actually going to cost volkswagen so according to the prosecution team what they're saying is that these charges are larry on the fact that these guys these 3 exact of the executives knew what was going on between may and july 2015 that they found out

during that time or even maybe before and this information wasn't released until september 2015 and that was by u.s. authorities so you know we all sums back to this one major issue what was happening is the manipulation of what diesel. engines were doing for volkswagen 'd so there was a system basically put in place that if you want to get your car checked for emissions they were much lower than what actually people were driving their cars of the missions were higher than what volkswagen was trying to basically put pull the wool over everybody's eyes so that's where this all stems from now during that process look 11000000 cars were acted by this and it cost volkswagen $33000000000.00 till now this is a massive amount of money and look at that here's a graph that basically shows you the stock of volkswagen where it was prior to what people are calling diesel gate and where the stock ended up after we know that just polemic see are they working hard to bring that stock price up by just after this

news was released the latest round here saw the scott stop drop by 2.4 percent again it's been a very bumpy ride for volkswagen and when something like this pops out well then you know it's just not going to make things any better and alex obviously there's been a long running story vokes like it has a lot of time to prepare their response what have they said to the latest allegations. yeah well you know we've also i can say you know we've spent a lot of time working on this we need to you know deny all of this and basically we've passed 4 years we've used the legal experts to find out what's going on here and none of this is right look at we're innocent about everything and it. needs to go away of course the company wants it to go away as for people that are born vested a volkswagen the concern is now with the c.e.o. will he be able to do his job he has a court case on his hands again volkswagens very keen on going electric so they want to push to make cleaner cars and will this disrupt this process well the

c.e.o.'s lawyer says no not at all he can keep being c.e.o. even with this lawsuit happening so in that sense this it won't be the 1st time something like this has happened in germany we know when it was the same type of thing when their executives were were. also under the microscope so here now with volkswagen well you know they're going to say we're pushing forward but this there's no way that this is good news for the company then and this is just something i mean we will try to be that tricky because pretty darn tricky you know something like this it's good that it's not going away it's going to hold c.e.o.'s to their feet to the fire as it should not good for business probably not good for anybody argy correspondent alex may have an edge thanks for joining us. thank you. apple has announced that they will keep production of their new macpro in the united states after initial plans to move the means of manufacturing to china the move comes as a trumpet administration granted an exemption on tariffs last week which will allow apple to import 10 components the needed for production of the desktop computer

without added costs a suddenly the computer which boasts a price tag of more than $5000.00 will remain with flex ltd and austin texas which has constructed the product since introduction in 2013 apple says that they will begin production of the machine soon but has yet to specify the date the macro is the only product by apple that is now made in the america. time now for. time now for a quick break but stay tuned because just on the other side of the break there are the c.e.o.'s and some love to hate but just what is it about these eccentric c.e.o.'s leaving a business. investigative journalist. today to. mean for markets. here are the market numbers.

seem wrong. to shape out. and. trade. worlds apart. this is a story about what happens austria stray bullets kills a young girl in the streets. happens to have a daughter isn't. the mother daughter is very innocent and terry is healing

this is with sure what happens to the community the public was screaming for a scapegoat the police need is a scapegoat so why not choose a 19 year old black kid with a criminal record who better to plan this than him and what happens in court. being . shot as far as we do. we don't know if she'll just. do this or that we. should all just. the asian arm of and heizer bush price that i.p.o.

at $27.00 per share in their 2nd attempt at listing in hong kong the shares ended up at the bottom the price range which was previously to between 27 and 30 h.k. and their 2nd crack at the asian markets the company increased the amount of shares sold to 1450000000 due to high demand when all is said and done budweiser apac will have raised $5000000000.00 with the listing which is the world's 2nd largest i.p.o. this year after reception to this i.p.o. though has been a bit lukewarm heading into pricing as the company had originally hoped to raise 9800000000 market sentiment is now cautious and the big question for investors once again is whether escalation in the china u.s. trade war or continued unrest in hong kong will weigh on sentiment and close the window for new offerings later this year so. so far though with the market stabilizing in hong kong some companies are dusting off their shelves plans to i.p.o. and as many as 16 companies applied to raise funds in the 1st 3 weeks of september

. and in other i.p.o. related news there is another twist in the tangled saga of office space rental startup we were attempted initial public offering as newly infamous c.e.o. out of newman reportedly agreed on tuesday to step down from his position mr newman has been in a harsh spotlight over the botched i.p.o. and his troubles dramatically increased after a profile in the wall street journal that featured reporting on newman's reputed eccentricities meanwhile the deflation of we were evaluated and led to the shelving them by p.t.o. and also to speculation about how much money some of the we companies current major investors including the famed softbank groups vision fund might lose over the bungled rollout that has brought new interest to some underappreciated reporting on the so-called ratchet provision in the i.p.o. documents that may offer softbank as much as $400000000.00 in additional shares as a guaranteed compensation for a deflated valuation. joining us now to take

a closer look at this new breed of c.e.o.'s disrupting the space is current doctor and the analyst ben swan. give our viewers who haven't been docking at this corporate car crash of a sense of we work and what this unsettled board of investors that they read on the profile that they successfully pushed to remove the supposedly visionary c.e.o. in terms of his personal quirks but also his business irregularities such as a selling the word we to the company for $6000000.00. yeah i think that's that's really what it comes down to look every one of these c.e.o.'s who's running the kind of new age companies if you want to call we work a tech company really is that it's a real estate company but you know i think we need every you look at these c.e.o.'s and they're young and they're visionary people don't really have too much of a problem with that they are. characters and we can talk about that a few minutes but i think the thing that really did adam newman it is the fact that quite candidly the fact that he created essentially an l.l.c.

which is what the we company was as an umbrella company and then he licensed to we work the right to use the word we for $6000000.00 as you just said i mean that kind of business practice it works when you're not an i.p.o. you can do that stuff because you can get around tax law and there's ways to to make money off of that but when you decide you want to enter the realm of an i.p.o. and have an initial public offering you want to open up your books to everyone else when the rest of the world looks at it they seem like a big scam or oh you're shifting money from over here to over here you're personally benefiting from it and why would i as an investor want to put my money into that kind of a system so i think that ultimately is what did it meant and bend the comparison that cries out here is perhaps travis kalanick of goober boob are obviously in there and they made a fair but not without major drama what are the parallels between this we were case and case and what does this apparent repeat of this cycle suggest about the cutting edge of capital is culture in 2019. well i think there's some big differences

between what happened with travis and what's happening with adam and largely because again look travis was also a very visionary person there's no question about it he still lives and since he's left it where he has started up a venture fund where he's still investing in 2 big idea companies he says profits and for profit and nonprofit companies but again the difference here is you had in travis kind of this reputation of being a bro right he had this reputation of somebody who was very kind of loose with the way he talked to people that sexual harassment within his company was hiring that he was going to korean escort services on the company dime so you have all these these personal issues that he was dealing with during the i.p.l. but i think that's why the i.p.o. ultimately was successful because one person's personal issues is one thing but is the company solid is that able to survive that's why you brought it obviously it is a solid company we work is not necessarily

a solid company because as we open up those books added newman aside if you take a look at what we work is doing they're not making money in the almost appears as if they have an unsustainable business model in terms of of the amount of money they're paying in rent the fact that for every dollar they're bringing in they're losing $2.00 and so a lot of investors also look at that and said well we don't really have a lot of confidence that necessarily the company is going to survive because if we had a recession already on the hook for long term leases that we can't turn around and sell for short term so that's i think the concern there so it's different in terms of that but in terms of adam and travis you have 2 characters and they really are characters who are extremely eccentric in very different ways and whether or not the public can trust them or not i think it comes down to investors say i don't want to trust that guy with my money travis still got booted before they even when i wasn't even invited to r.t. so we also have to mention. 7 before we go that's perhaps the archetype of this

corporate character. and he famously made up a farm south of the s.e.c. with a suspected pot really tweet about a possible i.p.o. and then unsettled investors by smoking marijuana on camera in a podcast and so this isn't exactly a boys' club let's also mention elizabeth holmes and her fantastic claims about blood test so it seems that there is a link between these fantastical business aspirations sending humans to mars or revolutionizing medicines with a blood test so what are all these people what do you think of the behavior of all of these eccentric. characters will look i think when it comes to if you are a person who is so visionary that you can look at the world as it is and you can see something different it takes a visionary person to be able to do that the law must know question is that person no question that that travis was that person as well because hoover was looking at the world and say there's a different better way to do this and he was right about that steve jobs is one of those people visionary person who looked at the world and saw

a different way doesn't mean they're all good people it doesn't mean that you necessarily want to have a personal relationship with them but they're brilliant people and the line between being a genius and being insane is pretty thin but i think what's important for people to remember here is that just because someone is a visionary and has great vision does not necessarily mean that they're able to run a successful business and that's what we're seeing with a lot of these inflated i.p.o.'s is that it's a great idea and it does well but maybe the person who has that visionary idea is not the same one to carry it through you know the line between genius and insanity word you find it bends to one investigative journalist and cryptocurrency analyst thanks so much for your insight. thanks guys. canadian kick interactive is killing us messaging app in order to focus on its cryptocurrency kin this is directly connected to the last of the f.c.c.

filed against the company over its 2017 i.c.a.o. which raised one $100000000.00 but as he claims that this was illegal unregistered securities offering kick has been working with the f.c.c. to resolve this issue for 18 months but the agency has been adamant that keke needs to change the label of kin from a crypto to security. livingston maintains a stance that becoming a security would kill the usability of any crypto currency and sets a dangerous precedent for the entire industry. that the buy the today thing and act time. in the big pain years and across started as 10 years i think it's time to shake things up maybe change the branding maybe the format here is what i've been

thinking about next season related episodes filmed on an island 10 experts fight it out for a trophy what do you think ok a more affordable option $25.00 text birds. and one red rose another suggestion political jeopardy parody no political cookout where we will literally wrote the elites. late night show it's a rare form of these days i'm going to cheat on him it is an old microphone in a printed banner but to leave me with one of my i guess i can do this campbell after politics gone wild like music. ok crosstalk is not about hype it's about meaning 10 years of talk and still going strong. peter if you want to change something why don't we get rid of the gotye you know

that is too much. but if she warned you posted by you and i did the dishes at the bus more than those g.'s nudist beach and you see me. as and about that when you die z. yes. it means i mean guys are that infants involved. a lot of you will see sawing and fuzzy fights about 2 kids each other both sides. as in the adults to me as if i choose. the. cabinet 5 days doing. people

who simply do something new. you know world of big part of the lot and conspiracy it's time to wait to dig deeper to hit the stories that made stream media refuses to tell more than ever we need to be smarter we need to stop slamming the door. and shouting past each other it's time for critical thinking it's time to fight for the middle for the troops the time is now for watching closely watching the hawks. i need a little girl and. feel

. the. breaking news. nancy pelosi announces the u.s. house of representatives will begin a formal impeachment inquiry into whether the law in his communications with ukraine. today i'm announcing the house of representatives moving forward with an official impeachment inquiry. is washington of violating its international commitments after the us fails. to several members of the russian delegation to the un general assembly. britain's highest court rules the prime.