i. beat down to news in markets amid a slew of major stock news this is a boom bust the one business show you can't afford to miss a wrench a bore and i'm christie iowa washington. dallas on face by the worst week in what lives just dial that horizon. and plus in these times of turmoil we're going to bastards turn 1st table away for good gold and big oil be the answer we'll debate the best path forward during the market turbulence we have a packed show but let's go and dive right in following the announcement by the world health organization characterizing cope at 19 as a pandemic us president donald trump issued a ban on travel to the united states from europe. new cases from entering our schuler's we will be suspending all travel from europe to the united states for the

next 30 days the new rules will go into effect friday at midnight these restrictions will be adjusted subject to conditions on the ground there will be exemptions for americans who have undergone appropriate screenings the ban will not affect those traveling to the u.s. from the europe or from the u.k. the european union officials took issue with the ban. the european union disapproves of the fact that the us decision to impose a travel down was taken unilaterally and without consultation. on wednesday italy the country hardest by the virus outside of china now it's the closure of most commercial and retail businesses supermarkets and pharmacies inside the country will remain open worldwide more than 130000 people have been infected by the krona virus with nearly 5000 deaths more than half of those infected have recovered in china the national health commission said the worst has passed in the

country. generally speaking the epidemic peak of our own country has you have asked the number of new and continuously declining the overall epidemic in kempsey at a low level on the street view and the chinese foreign ministry took issue with the comments from u.s. national security adviser robert o'brien who contends china covered up the initial outbreak which delayed the response by up to 2 months. the world health organization just to clear the cove in 1000 albury as a global pandemic demonstrating that it has become a common challenge facing all humankind we hold on that at this time the individual u.s. official should focus on tackling the epidemic situation and promoting cooperation instead of blaming china or shirking responsibility and smearing the chinese people's efforts to fight the epidemic of this approach is neither moral nor irresponsible and it does no good to prevent or control the outbreak in the united

states and as markets real over the past few weeks the u.s. president has pitched the idea of a payroll tax cut to ease some of that pain and also address the economic impact of this pandemic. this is not a financial crisis this is just a temporary moment of time that we will overcome together as a nation and as a world. and as the president who constantly references the stock market to boast about how great the economy is perhaps we should revisit his own metrics and point out that the dow and the s.n.p. have now formally entered a bear market and then the longest bull run in the history of america in this instance should also be noted as the fastest 20 percent drop by the s. and p. index on record investors remain uncertain whether actions taken by the fed and the company ministration to shield the economy will be effective or arrive quickly enough to prevent widespread economic pain monetary stimulus has reached its limits and the market is facing a huge demand shock as consumers won't spend and won't travel spending won't just

increase by giving them cheaper money but even so markets are now pricing in a large possibility of a one percent cut next week there are still no details regarding any substantial fiscal stimulus and the market closed thursday on the open triggering a 15 minute halt the index these subsequently tank with the dow dropping as much as 9.5 percent and the s. and p. by more than 7 percent as the u.s. scrambles to agree on stimulus investors have been looking at china with growing desperation to bail them out as it did in 2008 doesn't look like that's going to happen but instead the fed announced extraordinary fund the actions of more than $1.00 trillion dollars to ease strained capital markets this is the biggest action fired by the fed since the financial crisis but will it be enough the fact is that the u.s. equities are still in deep red means that confidence has been shattered and a fiscal bailout is necessary and not only are equities getting pummeled today but

so are safety assets treasuries and commodities the liquidation is system wide with goal of the traditional safety acid dumping back below $600.00 on almost 100000 contract in nominal terms that means that $16000000000.00 got so. old treasuries are not a safe haven anymore apparently as they are now on a break down with between the stock bond correlation with the stocks underperforming 10 year yield by nearly a 5 standard deviations risk perry funds are running on high leverage which is basically all of them are now billowing out as the breakdown is forcing a masti leveraging all across the street for sellers are dragging prices lower across the board putting tremendous pressure and strain on the markets and especially on the global systematically significant banking industry. now to go over all of this we're joined by jeffrey tucker editorial director with the american institute for economic research and peter schiff c.e.o. of the pacific capital so peter let's start with you you've been calling this entire correction for at least a good year now but this is now looking more like

a full blown recession rather than just a correction so are the markets and oversold territory is the 11 year bull market finally over. well the bull market is clearly over i mean just look at the numbers but i've been calling for not just a correction i've been calling for a bear market and we're in one but more problematic this is the beginning of the greatest financial crisis in u.s. history the financial crisis of us of $22008.00 will pale in comparison as will the severity of this recession we're going to have a much greater recession than the one that we had in 2008 the difference is going to be this one is actually going to have inflation we're going to have rising consumer prices in a falling dollar which is going to make it so much worse than what was experienced 1012 years ago jeffrey do you agree with this is suspect that we're actually in store for a worst recession than we saw 10 years ago because we're definitely going into

a bear market and what they're going to look like. look the numbers are going to show recession i think a couple weeks might have said the we would have topped off a point or 2 from the g.d.p. in the 1st quarter of may. the 2nd quarter but but but now it's going to approach negative territory i think by the summer when we look back to these numbers it's going to look really grim i think i differ with my friend peter is actually think it's possible that we could get out of this thing pretty quickly. come the fall in the winter and things could be restored very quickly i think peter has a bit of an apocalyptic view now let me just tell you i'm speaking to you from new york right now and it does seem like the apocalypse i mean broadway was shot you know everything is closing down it's a disaster the u.s. has handled this this pandemic crisis in the wrongly across the board in every conceivable way so if you can do something wrong the government authorities

to get on it for sure and the feds are going to help congress is going to help but my point jeff jeff i get. you let me make a point i'm not talking about the coronavirus that's not the problem though the coronavirus is just the pin the debt bubble is the problem it doesn't matter the coronavirus can be cured the damage is already done the debt bubble is imploding you know if it wasn't a coronavirus it would have been something else this bubble has been looking for in 3 years and it finally found one so now we have to deal with the consequences of the disease that the fed inflicted us with that's what we have to worry about not the coronavirus and unfortunately the fed's cure for the coronavirus is going to be fatal for the economy while to point out to jeffrey's point i do think while past performance not indicative of future performance it has been noted that the faster the fall the faster the recovery is so we've seen that time and time again and so the last time we had such a dramatic fall the recovery time was only

a span of 1314 months rather than the trickle down bam market in which case then the recession actually last for 26 months so we can always argue about this but let's talk about the massive fiscal stimulus package at hand. and we saw everything between equities treasuries gold even today because there was no clear definite plan on stimulus to help spur recovery so will we see a recovery and a comeback once we have policy in place i mean look at china while the entire western world down here is down between 5 to 10 percent today the shanghai composite is actually down only 1.5 percent. in the qur'an and next is only down about 2 percent is that because that they responded appropriately jeffrey. look i i don't agree with my my good friend peter and we've we've we've spent years are going about this. i look as i said the u.s. has done everything wrong this stimulus package is is is utterly pointless the this

is just government officials trying to make headlines and make news and do what they think they're supposed to do but it means nothing in the fiscal stimulus would mean nothing the fed's actions overnight. 500000000 a 1000000000 a 1000000000 whatever this is all just press releases it's not going to have any effect i also don't happen to believe it's going to lead to some sort of hyper inflation i think we're faced with with the short term deflation as we've seen from from virtually prices in everything from financials to oil to 'd to crypto so. you know nothing washington is going to do right now is making a difference maybe a month ago it could have been a repeal of tariffs and things could have. gone better but it's not going to make any difference right now but i do think that once the panic and let me just tell you it is panic out there i've never seen anything like it. my whole life i've never seen anything like this i mean new york city right now and you know yeah the

bars are just waking up people are drawn you're going to see something much worse if you're going to work it's going to be much worse when people realize that. it's not a virus that they need to panic about if it's a collapse of the. bubble that is the problem is fiscal stimulus is going to make the situation worse the u.s. is broke that there is no money to stimulate the economy all we could do is print money we're going to crank up the printing presses we're effectively dropping money from helicopters but it's a coronavirus does anything it's going to reduce the supply of goods so after this initial decline in prices prices are going to go up because there's not going to be very much to buy the supply of goods is going to go down meanwhile the supply of money is going to go through the roof and you know if the fed had not already intervened massively today by artificially suppressing treasury yields yields would have risen much more substantially than they already have and we would have seen a much bigger decline in the stock market because the bond market is imploding

because there is too much debt not only did the coronavirus prick the stock market bubble not only did it prick the crypto bubble but it pricked the bond market bubble the fed is trying to keep the air from coming out because it realizes what's going to happen when interest rates actually rise in an economy that is laden with debt thanks to all of the artificial stimulus in the past and now peter i just want a little bit of a clarification as we talk about this because i don't want anybody to be confused about your stance on this now obviously i believe you're saying the coronavirus is not what's causing the market collapse but you're saying but i just to make sure that you do understand the coronavirus in your opinion is in fact that pandemic that is ravaging the world right now and you have about 30 seconds to respond to that. yeah i'm off ahmad downplaying the coronavirus what i'm saying is this is the pin that pricks the bubble in 2008 it was real estate prices going down that break

the bubble but this is pricking a credit bubble so we have 2 problems we have the coronavirus right which is a health problem and maybe an economic problem too but then we have the credit bubble that is just imploded if we had a. economy if the fed did not encourage all this excess of leverage and dad right then economically we could weather this storm but big cost of federal reserve left us so vulnerable because we levered up so much now we're having a crisis that is the problem i have some lax one that no one expected this year you know chef and jeffrey talk i thank you both for time but hang in there because i want to bring back in later in the show. and time now for a quick break but hang here because when we were churn in these times of turmoil where can investors turn for a stable way to get gold in big point be the answer is we'll debate the best path forward during market turbulence and as we go to break here are the numbers at the close.

so she has a shot from which to be a cement dust up over at the. auto show i think there's a month for from the floor of the truck to improve for. your mind that these guys have to try to accomplish.

just because of global was going to have to close to its knees is it you know why would you. have played upon us a little bit in the sport of. you fighting with the so much for. the portion of the last 4 to 6 months because of the sound. we have to realize we are all living on a small fragile space ship together and it's really no different than a bunch of people in a harsh environment trying to rely on each other to survive we we are interconnected on this planet we rely on each other or do around the world to survive as a species. time after time to repeat the same mantra sustainability it's very important it's accelerating the transition to sustainable transport sustainability. the more equitable and sustainable.

they claim their production is complete. companies want us to feel good about their products while the damage is being done far away this is this. and welcome back the covert 1000 pandemic has ravaged financial markets world economies it will have a lasting effect on the travel and leisure sector and it may be the kids department here but professional sporting events are also being rocked by what is happening

around the world wednesday evening in the u.s. the n.b.a. suspended the basketball season until further notice after utah jazz player rudy go bear tested positive for the coronavirus and thursday the national hockey league and major league soccer both announce the suspension of their season's major league baseball will suspend spring training and delay the start of their sees it world wide the spain's soccer league league has suspended their next 2 games you vent. player daniel a real gunny has contracted the disease putting the entire team in quarantine for quarantine for 2 weeks italy had already banned domestic sporting events until april 3rd so there were going to be no games the situation initially put the u.s. the championship league games in jeopardy but next week's games were postponed on thursday several formula one events have been postponed as well or will be done without fans in the stands and the a.t.p. has also suspended professional tennis events for the next 6 weeks due to the pandemic the list keeps growing day by day and kristie really what we're seeing

here is insane because a lot of times when you have a crisis a pandemic things that are happening around the world that are driving people indoors usually have sports to fall back on and in this situation it's dangerous and it's a public safety hazard to have these players playing sports if you look at basketball everybody's touching the ball with their hands their wedding all over and they have to you know wipe themselves down and everything so it's very dangerous and actually a 2nd utah jazz player was actually diagnosed on thursday as well yes so it's a good thing that all of these are postponed but if we lacked i look back to the last recession that we had back in 2008 the last big recession one of the biggest factors that actually grew and came out of that recession was the east sports and gaming 2nd because nobody wanted to spend any money nobody had income disposable income to spend on extra curricular goods travel leisure all that they were at home so they gained and so that all of that entire sector grew out of the 2000 a recession and actually interestingly enough e-sports is also facing cancellations

because you get everybody together because you can't do it all online because you have delays in the input and everything so that happens and that's actually caused a problem in the overwatch league where now they're going to have to delay some of their next couple of events as well so it's very big and what this is going to affect too is if some of these events are canceled completely for the rest of the season we're looking at you know billions and billions of dollars in t.v. contracts that are also being destroyed by this least they can set and voice and train their response. and as the markets continue to crater are there any safe havens laughs and you want to listen to read dahlias rant on cash is trash is certainly regretting it now particularly the dow as his infamous risk parity trade is to heavy heavy losses as the link between stocks and bonds start breaking down so let's take a look at how these so-called safe haven assets are performing now traditionally in this basket include a goal of u.s. treasury the u.s. dollars the japanese yen and the much contested pick one so now let's bring back peter schiff and jackie chan ways park that that so put us out with everyone here

knows that you love gold biggest gold bug there ed how are you feeling now that gold is also down one of 4 percent today the flight to safety story has now turned gold into a liquidation priority number one as leverage had met fund managers start selling down gold and other assets in order to generate cash. well i wouldn't exaggerate one day's 4 percent decline gold is still rising for the year it is a safe haven it is a long term story value that doesn't mean that your can't be days where gold goes down clearly that can happen in fact you had a big rally in the dollar today so the price of gold went down by an even smaller percentage in terms of those currencies that gold was rallying against so you can only look at it from the prism of the u.s. dollar but i agree a lot of people have thought treasuries were safe havens they're not the treasuries are among the riskiest assets you could buy they were down today maybe the treasury

bubble has finally popped in which case there's a long way to go but probably the only thing riskier than treasuries is bitcoin bitcoin is the ultimate in speculative assets because it has no value whatsoever it's pure speculation i don't know why anybody would ever consider it a store of value or save haven because it's neither and it really has nothing in common with any other assets stocks bonds or gold and the bitcoin story as far as i'm concerned has completely fallen apart big going goes down when the stock mark. it goes down except it goes down more and when the stock market goes up well maybe big oil goes up a little bit it goes up less it's correlated to risk assets not to gold and it's just going down and it's everybody thought it would go up when you had this type of financial turmoil when you had the central bank slashing rates and launching q.e. programs but it's not happening because all the people who bought into bitcoin years ago were trying to unload it and you don't have any new suckers to do to come into the market to keep the pyramid going now it's like one thing clear here while

backwinded dropped 20 percent today while in a market cap basis gold dropped by 16 trillion dollars my mark making up was nickel and only job by approximately 40 so there's a huge discrepancy there and even though you say it's not correlated to that one it is completely uncorrelated to the equities market ripple is actually much more correlated to the stock market than bitcoin is jeffrey what is your take here. ok look love to talk about this because an issue peter is exactly right that because it was innovated to become a safe haven during times just like this and so why aren't we seen and become the safe haven that it was developed to be and was actually for a number of years i think it's because the core developers spent the last 4 years wasting time on this ridiculous scaling problem and they suing the adoption adoption hasn't gone far enough and it hasn't come into consumer use like it should have and would have if it had been able to scale so now we're we're seeing what

happens and because it was not part of the scaled and it's not behaving in the way it's a toshi intended to be so i you know i'd like to do a contractual history because it looks like today if if if the oed jihad leaders hadn't just claimed that it was some sort of some asset you would never use he would just just hold it forever and see what the price would be i think it will be live in a different world peter and i disagree on this but i think this is the reason why because this is pulled back so hard is that it just wasn't allowed to perform the way it should have done otherwise what were seen and the reason why people are suing gold and all these other safe haven at this is we're seeing a panic flight to cash what does she going to do you know you've got the president of the united states on national television last night by executive fear in the in all flights from europe you know we've got everything being shut down in this country there's a culture of shutdown and panic and what are people going to do they go look for

the most liquid thing and that's that's that's cash right now and gold and because it just can't compete with it we're live in an unusual extremely strange times and this is this is what people are going for cash you know sell whatever you've got move into cash and try to stay safe hunker down for the next 306090 days and then see what happens peter do you have a response to your good friend jeffrey here. well you know i think one of the reasons that bitcoin was unable to involve along the lines that you hope is that it was impractical to be used as a medium of exchange i mean that was the whole idea that bitcoin was going to be like a currency a digital currency but when it really didn't work as a digital currency they reinvented it as digital gold and they tried to position it as an alternative to gold they even had this crazy campaign on television drop gold might be going instead of gold well anybody who dropped their gold obvious look it's the big coin that got dropped on their heads although you can't drop it on

your head because it has no substance but you know it's not if it is working they keep trying to reinvent it to try to create some type of value then they said well it's not correlated by bitcoin because it'll go up when your other assets are going down or up but you know it's going down to it's going down faster than the other assets so it's not non correlated it's not a safe haven it's not a store value it's not currency it's not being accommodated at the exchange what is it it is nothing now pay if they are not working and not working and yet the client has worked that out because while the stock market and both the treasury market all of the same heavy heavy damage from years if it's over over inflation that's the bitcoin market which has had 0 intervention 0 overhead 0 centralised ation that has been supported by real that and supply levels so yes we had a correction but all those fractions have always dropped down to our safety support levels which is why even in today's pullback is still a drop to what we thought the flat was around 6000. the.

number because it has been falling from 20220000 was the high it's been falling for a while peter earlier i apologize but what we really have to go through it is a roofer and i really thought it was related to a bubble his pocket appreciate you guys i better shift jeffrey tucker going to take both of you for joining us we'll do this again this is a lot of fun thank you so much. as social distancing becomes the norm these days from fears of contracting the coronavirus people are now finding new and creative ways to deal with it a new hands free greeting has emerged the shake where instead of shaking hands are fist pumping people tap their feet together now this is especially helpful considering that this week a georgetown priest who was diagnosed shook hands with and potentially exposed more than $500.00 people to the virus other forms of the greedy have popped up in order to replace traditional readings that include hugs kisses or nose touching people and are now encouraged to foot shake weight elbows or even the traditional thai

greeting the y. in order to avoid contact and further spread. and that's it for this time you can catch boom bust on demand on the brand new portable t.v. you have available on smartphones through the play and the apple app store by searching portable t.v. or stream if your t.v. by downloading the portable t.v. app on apple t.v. . and you can also find tracker on the problem t.v. app where you can get the latest news and information about the spread of the virus and as always check us out on you to. see you next time. we have to realize we are all living on a small fragile spaceship together and it's really no different than a bunch of people in a harsh environment trying to rely on each other to survive we are interconnected on this planet we rely on each other everywhere around the world survive as

a species. is the 8th wonder of the world he understands it turns it. doesn't taste this is a remarkable stein and it has so much to do with. stock market volatility and the coronavirus all working at the same time and showing what compound interest is all about. good food descriptions sound up the tasing even for the owners so how to choose the head food industry is telling us what to feed our pets really more based on what they want to sell us than was necessarily good for the pet turns out may not be as healthy as people believe we have animals that have you know diabetes in arthritis

they have auto immune disorders allergies we are actually creating these problems it's a huge epidemic of problems all of them i believe can be linked to a very simple problem of diet and some dog owners so heartbreaking stories about their pets less treats the larger corporations are not very interested in proving or disproving the value of their food because they're already making it a $1000000000.00 on it and there's no reason to do that research. was up. last. couple of the.

idea that. breaking news this hour the u.s. strikes iranian backed militia facilities across iraq the operation reportedly comes in retaliate. base that killed 3 soldiers. former army intelligence analyst and whistleblower chelsea manning has been released from jail it comes just a day after she attempted suicide she has been refusing to testify further in the u.s. government's wiki leaks probe. e.u. leaders lambaste president decision to suspend all air travel to the u.s. from 26 european countries stressing that the coronavirus. a coordinated international response.