the show you can't afford to miss thanks for being with us i've been through a number of washington coming up. the ability of the virus to spread seems to getting stronger. first of accelerating as the virus continues to spread across china and it's hitting financial markets hard we have the latest plus. we're an active discussions with the u.k. government and others about. it and while ways it's a complicated issue the u.k. has a decision to make regarding using wall ways equipment in their 5 g. infrastructure but officials from the united states are weighing in on the debate we'll explain. and the c.e.o. of johnson and johnson is taking the stand in the trial over the risks of their baby powder we've got a live report so much to get to on this very busy day so let's get started. and we begin as concerns over the coronavirus have seen u.s. stocks tumbling by more than one percent monday as the dow plunged 406 points the big fear right now that the new coronavirus outbreak could severely disrupt the

chinese economy the corona virus is spreading despite chinese attempts to contain it. the growth of the epidemic is accelerating i'm afraid it will last if you don't have time. for us to see if you increase the number of cases in the near future if you told me so what is happening with the virus in china right now there are more than 2800 cases confirmed in china the death toll currently stands at 81 the mayor of rouhani the city which is the epicenter of this virus says that the number of cases in that city could rise by at least another 1000 and meanwhile china has quarantined a dozen cities right at the chinese new year celebration and that means no travel for at least 35 to 40000000 chinese citizens and all of that means airline stocks like american and delta down 4 percent resort and travel stocks down 2 percent and consumer stocks like apple disney and nike. all down 2 percent as well chinese

authorities say they are doing what they can to track and to contain the virus which at present the epidemic prevention and control is at a critical moment it is necessary to give plain for the mobilization ability grassroots communities and communities implement carpet like the tracking. management and ensure every household in. the exercise of prevention and control measures with stable group control and prevention in the community to. spread an output can be effectively realized and meanwhile global equity markets fell heavily and oil prices lumped over those statements that the coronavirus cases would increase and accelerate shares across europe saw big declines with the german dax and the french cac indices both down by more than 2.5 percent among the biggest share price declines in london were luxury clothing maker brew blue better burberry which fell 4.8 percent about 16 percent of all of burberry sales are made in china

which also is one of the fastest growing markets so that's big as well due to what we talked about there with the chinese new year now burberry is warning investors that the drop in chinese spending would have a big effect on revenues again the chinese government says they are going to get control of what is happening with the virus with quarantines on cities and can trolling travel but is that the right decision now we have the perfect guest to discuss just with more on this we're joined by chris martenson co-founder of peak prosperity chris thank you so much for joining us today and and i want to point out that chris has a ph d. in pathology from duke university with a specialty in neuro toxicology and so he's not just understanding of the financial markets here but but incredibly knowledgeable about what's happening here so chris let's start with the numbers you've been challenged the data coming out of china the chinese are saying just about just over 2800 confirmed cases but you believe

those numbers may be much higher can you please explain that to us. sure it's just not passing like spell smell test right now and here's the logic. the city 11000000 people it has at least 49000 hospital beds in it and we've all seen the videos or want meeting rooms are people being sick in hallways that this is a medical system that's on the verge of being overwhelmed or has been overwhelmed listen if you have 2000 cases the kind the reporting is overwhelming you have about a 10 percent serious complication rate that means 200 people are in need of serious or i.c.u. bit care that's not sufficient to swamp a city with 49000 hospital beds so my rough estimate is i think it's off by an order of magnitude but that's just guesswork i guess it just doesn't make sense to me to think that they got swamped by 2000 cases so chris the world health organization did not want to declare a public health emergency in the case of the corona virus and in doing so you have said they were actually acting more like the world trade organization because of

their concerns about global trade and stocks the decision you say was a failure by the show was it not. i do because you know i think they felt a little burned from overreacting even potentially to the sars epidemic back about you know what was 8 years ago now so they're being very cautious here but i think too cautious really because this isn't like the stars virus that sars virus was more deadly or it didn't transmit from person to person until you actually had symptoms this corona virus looks to be transmitting aids symptomatically that is you get exposed you you have an incubation period and you are transmitting at or infecting other people that you really need to get on top of right away and by waiting the world health organization has really lost i think some important containment on its ear and that's actually an interesting point that you make about a symptomatically because we know that authorities here in the united states and in other countries as well are testing at airports to make sure that anyone coming to

the country from china doesn't have a fever is not showing symptoms but based on what you just said. there you may not be showing symptoms when you enter the u.s. or european nation or really anywhere so how do they parse out how they figure that one out. well they don't it's completely ineffective to be taking the temperature readings of people who are possibly asymptomatic that sets this virus apart from almost all others including some of the flus which are very short a q.b. nation periods you know h one n one a couple years ago maybe 13 days tops but you know this is very different and we still don't know what the actual incubation period is there's a lot of false information or new information we're going to have to learn a lot because this is really a brand new disease and again that's why i thought the world health organization should have been approaching this with an abundance of caution but on the side of being more proactive not less well speaking of caution there's a lot of concern in hong kong right now about the corona virus making it over there in fact hong kong is demanding a close border with the rest of china and already 2 weeks school break has been

declared obviously fingers crossed here the corona virus does not make it there there's also word that doctors may be threatening to strike if a border is not closed but in the event the corona virus does make it to hong kong how devastating of an impact with the virus have on world markets by hitting particularly that city. well hong kong is particularly exposed is very very densely populated it has a lot of really high density living arrangements it would be exceedingly difficult to do anything other than sort of quote a ring around it let it burn itself out this is a really highly contagious disease we've already seen 15 health care workers come down with a list and they're using all 'd the very best and latest preventative measures they possibly can plus what else are we seeing in terms of world trade at this point i'm shanghai just announced that i think by february 9th they want all non-essential businesses closed until february 9th shoot out same decision until february 8th so these are 2 major training in manufacturing and shipping centers that are basically

closing 'd for business for a while what is it. to have all non-essential businesses closed i mean you know imagine new york city with no starbucks you know no takeout no no in a dry cleaning no no i mean it's all kinds of things that get shut down they would not be taking the steps if it wasn't really really serious which feeds back into my impression that the numbers are giving us have to be low balls because i don't think they would be taking measures that extreme if they didn't have different numbers and and yeah one more question for you you know obviously china is with so many countries including here in the united states has a large elderly population and we know that's the group as with every flu but in particular this particular virus that group is the most heavily hit older people are the ones who are obviously not only those susceptible to can contract the disease but especially to die from the disease what are your thoughts on that in terms of the population in china and in these other countries across europe and here in the united states being particular is it particularly susceptible to this.

sure ben you know china does have an elderly population on average this disease is hitting people 6070 hit hard 70 to 80 hit even harder 80 to 90 these are the age ranges that are most circle to the pneumonia that results from getting infected with the secular virus so you've seen the japan parliament also say hey maybe we should close our borders off there's another country even with a larger elderly population percentage wise than china but the united states has similar demographics in europe so that is a very big concern but also of concern was the chinese health minister you had on earlier i believe he said that they're worried that this is the age ranges are starting to shift as well so we're starting to see early shifting in the virus either it's changing or we're getting better data we don't know yet but we're going to have to stay and talk with it chris martenson a pic prosperity thank you so much for joining us today give us your insight we'll follow this story bring it back on to talk about it. thank you my pleasure.

the united kingdom is set this week to make a decision on whether or not to use technology from wall way in the development of their 5 g. infrastructure the officials for and officials from the u.s. who have previously warned european allies not to use the company's equipment due to perceived security risks are weighing in on the situation secretary of state might pompei a retreat a conservative part of weapon terry and tom 2 can hat who claimed sovereignty means control 'd of data as much as land and war and that getting it wrong could mean great consequences for the u.k. the u.s. secretary of state tweeted the u.k. has a momentous decision ahead on 5 g. british m.p. tom 2 can hat gets it right the truth is the only nations able to protect their data will be sovereign popeye was said to meet with british prime minister boris johnson in foreign secretary dominic robb this week in london where the topic will likely be discussed now meanwhile this weekend u.s.

treasury secretary steven nugent spoke about while way at the chatham house royal institute of international affairs in london but were were in active discussions with the u.k. government and others about. it again while way it's a complicated issue what parts of their networks it goes into i don't want to go through the details but there are ongoing discussions on that and it is a release to the d.s.t. and i've publicly said this already and stateside in the wall way saga the wall street journal reported last week that the u.s. commerce department has pulled a regulation that hinders u.s. companies which sell to while away from locations outside of the u.s. at the urging of the defense and treasury department's no one has confirmed those reports also on the smartphone front india has overtaken the united states to claim the world's 2nd largest smartphone market in 2019 alone $158000000.00 phones were shipped to india and suggest the influx of less expensive chinese smartphones which

count for 72 percent of the markets is the reason for the bump it's no surprise. that china is the number one market for smartphones now followed by india and then the united states sometimes it's kind of bizarre been to think about the fact that india it took them this long to catch up with us on the smartphone market when you look at a population difference between the united states and india it really is very surprising to see that happen and obviously you know just going back to the the wall way if you were a 2nd imagine how this looks if you're boris johnson and you're trying to deal right now with this idea the united states is not given one single piece of proof that while the phones are compromised by the chinese government let alone whether or not 5 g. technology could even be compromised by them and so boris johnson has demanded some kind of evidence some kind of proof of this happening in order to make a decision but with the backdrop of all that you get a report the commerce department the defense department says well that's not american companies sell to them because it's going to cost us money keep all way around as long as it's convenient for us but try to cut them off in other countries

and of course make sure that there's a loophole for american companies as long as they're outside of the country that's the way it always works i time now for a quick break but hang in there when we come back the c.e.o. of johnson. taking the stand in the trial over the risks of their baby powder we've got a live report and as we go to break here are the numbers at the close. backstabbers financial survival guide. housing. only

meters down. artificial mortgage true don't get carried away that's cause report. to the single. going to. the list i didn't. move this is a i'm listening to. ensure. that it does not. cause it is

a. rough. and welcome back as the u.k. finalize its exit from the european union sites are being set on a trade deal between the u.s. and great britain during this conversation at the chatham house in london the treasury secretary newton spoke about the importance of the relationship with the u.k. and the prospects of making a deal before the end of 2020. our most important relationship it's a very strategic relationship and i give this government a lot of credit for they campaigned on getting list on there getting it done. and

you know we. i've said that our goal their goal is to we're going to try to get both of these trade agreements done this year and this is going back to the president during the campaign he said if post brags that but he said you know they'll be at the top of the list in terms of negotiating and the u.s. treasury secretary mentioned the u.k. will have to resolve issues surrounding baghdad before deal can be struck with the united states and as we previously mentioned the situation with way and a digital services tax on u.s. tech companies will be central in negotiations joining us to discuss just that question is business and finance world is todd bubba horwitz chief strategist at bubba trading baba thank you so much for joining us always appreciate having you here on a monday let's start off simply here with what is going on between the u.s. and the u.k. why are we seeing this big push for a bilateral trade deal before the end of this year and more importantly what does

the u.s. expect to get out of the deal between the u.s. and the u.k. . well 1st of all good afternoon brown and bad and you know listen all trade deals are good if they're fair ok if there are good deals for both parties all that means is that we have more goods to sell it means that our and our companies will do better means and earnings will rise that means a g.d.p. a rise so if we can get it to put together a fair and free trade it's going to help every part of the u.s. economy as well as help the u.k. but of course obviously both sides have their stubborn parts of where they want to stick and that's been the issue that's what we just got through going to what china and who knows of dead deals on it so we're really looking for is that it really it does become a global economy you know the united states could still stand alone if we wanted to but the cap and to mission that it brings in the need for goods it's good for everybody if we can get a good solid deal done and certainly

a good deal done before the end of 2 i do want to my mind is before the election is . good for president trump well it was a gas that bubba is actually a follow up here because is it about making an actual fair trade deal or is it that the president of the united states has seen what happened with the china trade deal with the u.s. m.c.a. with any of these other trade spats he's kind of gotten and which actually of propped up stock markets because every day you know they go down a little bit on some bad news but then they pop really high on good news so is that what are you seeing any saying hey if the my the better the markets are at the end of 2020 when the election happens that's was looking good for me. well i mean personally i don't believe that president trump does that type of thing i think if he was like that he didn't give it into china a long time ago i think that he believes that that's the best deal for the americans i think see believe best of best deal that can be made and i don't think that he's been given regardless of the economy is going to be strong listen you

know he's got a lot of advantages going for him right now which is there's no place else to go with your money i mean even with the markets down today i mean are you are you going to go to get any yield and your capital you're forced into the u.s. equity market which is a private conversation of another day but i don't think he's going to read a lot or given to a trade deal just because of the election so at the center of this u.s. u.k. possible you know trade negotiation kind of at the center of it is this idea of the digital services tax which we've heard a lot about it we know that it was a huge issue with france they actually passed a law for it now they have postponed the law into the end of the year so they can work out a deal they were threatened with heavy terrill some wine and cheese like $2000000000.00 worth so at this point is the u.k. going to have to back down also because they say they want this digital services tax on companies like amazon and google and apple. or what i thought i don't back down i don't think we're going to get a deal and again this goes to the same story is every other partner we have they

need us more than we need them for many many. but and we have taken the short end of the stick for so many years that it's time that let's just look bottom line that's ever free fair market price discovery the whole deal but if they want to start with that i think that will be a deal breaker and i do not believe that the president will give in on this digital tax if they want to go for tax because they will charge you more on these things i get we still basically hold pardon the pun but all the trunk cards oh you know that's a good point but help me understand this because it doesn't doesn't really compute with me so why is president trump fighting for this particular digital services tax to be done away with in europe and in the u.k. why does he care 1st of all these companies like amazon google and apple number one they don't pay corporate taxes here in the u.s. they have this whole system where they run it through ireland they don't pay it number 2 they hate trump none of them support him so why would he defend these

companies that don't pay taxes they don't like him it's not really the u.s. that's losing out if they get taxed is it not what am i missing. we're all about it you show the best what you can possibly say even though they hate him even though they're not for him yeah at the end of the day he's for the american people he's for the businesses that are in this country and they do pay some tax yes we know they don't pay what they should pay but they do pay some texture and they're continuing to build and i think key showing a good faith let's get it together and bring your bridges have more of your business back here to the these digital companies and i think vets where he's trying to go i think he's trying to show that he's really a fair and equal partner with the i hate him or not he doesn't pick on companies that don't like him and say well you can't do that look at him unable to get along very well but he still make concessions to apple. before we go today i have some red meat for you we have another big fed meeting happening this week and of course

. of course the u.s. federal. has cut rates 3 times since last july what can we actually expect from this meeting here. i had that you're going to see the same nothing as we've seen now recently i think that they're going to continue to indicate that they're basically going to bail out the economy you know the ridiculous part of taking away the true free market where they don't they don't allow that prices cover they're going to stand behind it so we've still got the fed put underlying this market the market the money is going to remain cheap i mean they could they i don't believe they could they would cut they certainly could based on other rights or on the world but at the end of the day i think they stay with the status quo which is still tends to be bullish for the market gives a a underlying bottom to the markets and i think that's where they're going to go i think they'll be no indication of any ice coming anytime soon i think their guy

things are silent now until the after the election unless we have some major boom that relates to bring your rates higher i don't think they're going to be lower well if we get 4 more years of president trump he did suggest the idea of negative interest rates really intrigues him so we could see that one coming next from where you at least that is or he would not be he would be correct in his theory but in the world it would be horrible of course that's what we owe the u.k. for for bringing central banking to this country anyway so that's one of the biggest was as it ever horwitz of baba trading thanks for your insight today. well for the 1st time in a jury trial johnson and johnson c.e.o. took the stand today over allegations that the company's baby powder causes cancer there is a lot riding on this trial for johnson and johnson which faces thousands of lawsuits alleging that users were not warned of the dangers legal journalist molly barrows contributed to a lawyer joins us now with more so lola thanks for being here can you break down i guess you just kind of give us

a synopsis of what specifically the trial is about. hi ben yes well there's 4 plaintiff. in this trial and they all are for people with mesothelioma it's an incurable cancer they say was caused by exposure to asbestos to the company's baby power since powder rather since they were infants so this is the punitive phase of the trial this is where basically the plaintiff's attorneys are saying they didn't do enough to make sure that their product was safe now in an earlier phrase a jury awarded compensatory damages in this trial of more than $37000000.00 basically agreeing with the plaintiffs that this powder did indeed cause their cancers but in this phase their attorneys want to show that the companies behavior was reckless so that they should also be awarded punitive damages and in doing so they called chief executive alex gorski to the stand although johnson and johnson fought his subpoena on grounds saying that he didn't have firsthand knowledge about the safety of powders and that the case involved corporate conduct before he joined the company in 2012 but the new jersey supreme court said he could testify and there was a lot that went on with his testimony today ben. and why was he even called to

testify in the 1st place what did he even have to say in this regard. well yes so gorski is testimony today stems from basically his very public defense of the safety of the company's baby powder after a 2018 reuters article reported that a specialist was found in a bottle of baby powder produce that same year gorske gave a television interview he made a video that was posted on the company's web site in response to that report basically saying that their baby powder did not contain a specialist and that it was indeed safe to use reuters article said the a specialist was found by a lab working for the f.d.a. johnson johnson commissioned a similar study they said they found my newts amounts of minute amounts rather of a specificity came from the a c. unit in the lab so again gorski testified on the stand that he did not read all the company's internal documents related to this potential is specified contamination and he was in fact relying on experts in these fields when he made those statements

after that article but he was also asked by plaintiff's attorneys about why he sold nearly 40. dollars and shares that he netted about 22000000 from just 2 days after they 1st got an e-mail from the reuters reporter saying hey this is what we're looking into this is what our report is going to be about and he sold those shares he said unbeknown to him that this report was coming out and that that e-mail had been received but he was also questioned about that as well yeah the laws on the line for johnson and johnson are clearly more money girls contributor to america's lawyer appreciate you following this come back and let us know exactly how it all shakes out. absolutely thanks so much. and that's it for this time you can catch boom bust on demand on the brand new portable t.v. apple bailable and smartphones through google play in the apple app store by searching portable t.v. or stream us to your t.v. by downloading the portable t.v. app on apple t.v. and online portable t.v. portable t.v. will be available on more devices coming very soon and as always you can also hit

us up at youtube dot com slash boom bust r.t. see you back here next time. and we're going to fulfill that promise is probably to the people come on you know we've all bots. really. really really really. pretty good. if you want to work.

all the. trade and investment to become magic spells to come economic development. most people think about trade they think about goods and services being exchanged between countries and the in fast chapter of a trade agreement as opposed to something very different but won't when investment leads to toxic manufacturing that destroys sacred sites all ruins the environment. that means if local communities that are being poisoned if they object if they do anything that the company feels is interrupting their profits they can they sue. multinationals are taking on the whole nation philip morris is trying to use

i.s.t.'s to stop tour of the way from implementing new tobacco regulations aimed at cutting domestic smoking rates a fringe company sued egypt because egypt resists minimum wage democratic choice trump corporate. joint says we try to fund don't want to. the world is driven by shaped by one person. the dairy thinks. we dare to ask.

the u.s. military confirms that one of its surveillance planes has crashed in afghanistan in territory controlled by taliban militants. it 65 years since one of the darkest chapters of humanity came to an end with the liberation by soviet forces of the auschwitz concentration camp 27th of january international holocaust remembrance day for the millions of jews killed during the 2nd world war. and france bans type of crowd control grenade that injured numerous protesters their critics say is just a political ploy designed with to win votes in upcoming minister elections. well those are the headlines we'll be back here next hour the not.