this is boom bust the one business show you can't afford to miss i'm sorry month of the open washington coming up u.s. unemployment claims are down for the 11th straight week but some are having trouble finding the good news in that nearly 46000000 unemployed and a new trade war may be brewing not with china. we'll tell you what a possible to. talk show today so let's go and dive right in. for u.s. unemployment numbers are in and the latest figures from the labor department

reported 1500000 more americans filed for unemployment last week this is up from the expected 1300000 well this also marked the 11th straight weekly decline in applications but also the 13 consecutive weeks or week where jobless claims remain above 1000000 well this is a total of more than 45000000 americans have filed for unemployment as a chronic virus continues to slow the u.s. economy and with many states reopening and some old jobs are turning the total number of people receiving unemployment actually slightly fell well to talk more about the markets we turn to our panel. last trading group co-host chrystia i am let's start with you unemployment data came from came back and it's worse than expected but something else was also quite unexpected there we were getting it we're seeing people getting unemployment benefits rather that are than there are actual on employed workers how did this happen. so when the cares

abt what was put into effect in march to really loosen the rules on who could go after unemployment which contributes to that but also people are only considered unemployed if they look for jobs in the last 4 weeks they discount a lot of people who have given up on working for jobs and with people kind of discarded find a job market or maybe afraid still get in corona virus there's less people than been looking for work plus they've really picked up how much you get paid for unemployment so you're seeing a lot more people get it and that's where that disparity comes in with the numbers where there's more people that are receiving you know harassing on foot well originally adam correct me if i'm wrong but i believe the unemployment numbers took into account those who weren't looking for jobs because of the pandemic is that still the case. i don't believe so i thought it's only within the last 4 weeks and then outside of that it's not counted. that's that's what i. heard on the stock market now for you but i believe it's just the last few weeks i see ok

christie meanwhile there are still some huge backlogs in the unemployment payments to millions of americans what is out looking like now. well right now there are still a lot of americans who lost their jobs during the crisis and they've been unable to collect their unemployment checks like just on twitter alone you can see from these photos these massive lines in kentucky in the capitol where you have massive lines of people flocking to the state capitol early morning wednesday in order to see person help in person because they haven't been able to get on the phone or do it online so most of these states not just kentucky they've been overwhelmed with the 10s of millions of unemployed insurance benefits claims that are filed and most of these systems have been in adequately staffed or just load balance to handle this surge of demand which has resulted in crushing computer systems clogged phone lines it further compound the problem so now we have more than 20000000 americans who are currently receiving checks and but many others are still unable to even access

their 1st time check and benefits are struggling now to pay for food and rent and now in california where i'm at the backlog has now officially top over $1700000.00 in 2 months so that means 1700000 california workers who filed claims during those 2 months they are still waiting for their 1st time payments you said these lines are form because people can't even get a hold of them but out of going off of this looking at this this backdrop has this expectation for the v. shaped recovery that's been overly optimistic that people have been expecting how can we get this bounce back in the market and how is it pricing in when new unemployment claims are back up over a 1000000. it's a really good question i think when you talk about what you do specific about. because this is the stock market which is. and we've seen some. remind me of the internet bubble and. just. when they were.

just really. it's not natural but if you talk about the economy. that's not going to be recovery. with jobs. you know. the world is not going to be better placed in the stock market is not because the world more could be should recover yes. no i don't know it's not and it's definitely been been the roller coaster of that we've been seeing in the market with the volatility and much like you said with this possible 2nd resurgence kristie let me turn things to a little bit of the tension there has been between china and the united states secretary of state my pompei i just met with china's top diplomat yang joshi on wednesday what came of this meeting. all right now diplomatic observers are saying that this meeting showed that both nations they do not want their bilateral ties to

be derailed especially ahead of the u.s. presidential election so expectations were fairly low for this meeting but at least tempers were kept in check as they discuss very sensitive topics such as taiwan hong kong the china belgium wrote initiative the high tech race the arms race as well as others so afterwards the u.s. released a statement stressing the importance of american interests and the need for fully reciprocal dealings between the 2 nations across commercial security and diplomatic interactions meanwhile china also released in their statement that it hoped the u.s. would be accommodative and push their bilateral relations back on track for coordination cooperation and stability and also reiterated that china's stance on hong kong and taiwan was purely an internal affair and opposes any sort of foreign interference so now while the meeting was quite tempered there's clearly a strained relationship not to mention the fact that this meeting it was not. publicly announced in advance and it's still not clear to to this point which side

had proposed it to begin with which really highlights the tension and the mistrust right now that now permeate between the world's number one and number 2 economies and we saw this play out over and over again after the trade war which is still in effect they only signed a phase one or probably won't be seeing the face to any time soon and i want to move over to commodities when will or will ever the u.s. shale rebound to prepare endemic levels do you see this happening. i mean. it's not going to be something i see how. near term future. and that goes along with all the should be kind of groove you know. like myself it was important to me for a 100 days i don't i'm signed you know comfortable so i'm going out playing golf but i still want to get on and there are. people that i know that have worked in offices their whole lives there. and as the number spike in other areas is something i think that goes with with no not with start up again and how fast we'll

get there but you know if you ask her yes yes it will come back but the bigger question that i worry about these companies like your chance of. you know. the last is we come back and that's where you get into a piece of survival look at it you could start to see more m. and. companies look to consolidate and. so. i'd be really nervous if i was in that industry and i needed in the near term because i don't think you're getting the energy sector has definitely been hurting a lot kristie about a minute left but the u.s. production has plunged by $600000.00 barrels per day is this the new normal. it certainly does seem to be the new normal because right now we're taking we're taking production cuts all around the world and especially places such as the middle east. that's russia such as venezuela which rely more much more heavily on the oil economy than the u.s.

so those economies are definitely hurting and at the 1st chance it gets whenever demand actually rises again they're going to be they're going to be surging oil back into the market that's only going to drive prices down so the u.s. is going to be more so collateral damage in the midst of all of that especially because they are looking for more of these cut out of mush of the trading group and boom bust co-host christine thank you both for your time today. and. there are now fears a trade war could erupt between the united states and europe after u.s. leaders walked away from negotiations over taxing big digital companies like google amazon and even facebook will some european countries plan to move forward with new international taxes anyway which could then lead to the u.s. to retaliate with tariffs on some of their products were legal journalist molly barrows together with america's a lawyer joins us now with more molly good to see you why are european leaders proposing new international tax rules. well there they say it's long overdue that

there needs to be a major update and overall these international taxes in order to bring it up to the modern digital era they're basically looking at big digital companies that are based in the u.s. getting corporately tax in the u.s. but not having to pay corporate taxes anywhere else in the world where they have hundreds of millions of customers and are raking in hundreds of millions of dollars each year so you're being countries have started to levy these digital taxes in the past year and they had them on hold as long as the u.s. was willing to negotiate well this week u.s. trade leaders said we're not like in this it looks like it's going to move forward regardless and they feel like they're being unfairly targeted essentially because the current rules say you can only be taxed in the country you're producing the product you have to have a physical presence in order to be faced with corporate taxes but these countries are still i mean these companies are raking in a lot of money in these other countries where they're not based but their customers are because it's a digital era and the u.s. says well you. we're going to write these rules to where companies that make a certain amount that's what they're proposing is that companies that meet

a certain income threshold are the ones that are taxed that immediately makes a number of these very big companies that are based in the u.s. targets is what u.s. trade leaders are saying they feel like they're being discriminated against so they're not happy about and that's why they walked away well at least it looked like there was supposed to be a conversation about this we've seen the united states the great wars with other countries in the last couple of years and some took a you know you managed to to get into one with china the world's 2nd largest economy and that caused a lot of harm to to the economy especially to certain sectors like farmers for example but how is a potential trade war now stemming from this and break it down for us what would that look like with the european union right like you said sara we can't afford another trade war with any country at all much less dozens and that's essentially what you could potentially be looking at because there's $140.00 countries that were part of this group if you will that was trying to negotiate new tax rules and the united states has been seeing this coming for some time it's no real surprise

that they don't want to participate i think people realize that they don't want to see their companies paying taxes but basically what the us is saying is hey if you're going to if you're going to make us pay taxes which we think are unfair then we're going to add tariffs on to your products so some countries say they're going to wait before they move forward we're talking about tax rates of anywhere from 2 and a half percent to 7 percent from countries like italy france hungary a few in many many others but france is saying you know what we don't care that you walk away we're going to go ahead move forward with our digital tax i think 3 percent and that's when u.s. trade leaders said you know what you can do that and then we're going to start taxing your goods france including shipping of champagne. basically other i don't like shopping items purses bags or yes only do all the good i mean it's a shame much like you said we can't afford another trade we're not only because of what we've seen with the u.s. in china. but because of what the world is experiencing recessions all over the european union the united states just turned into one so

a lot of companies or countries already hurting but are u.s. companies still subject to this new tax. actually no because current tax treaties i mean they are they are they don't have any control over is what i'm saying current tax trees don't exempt us from being able to say we're not going to pay it i don't know exactly how that will break down if they just keep walking away from negotiations but i don't think this issue is going to go away and that's why there is a real threat of a trade war and the leisure mentioned before donald trump president all trumps trade war that's ongoing with china this could potentially be a problem here as well because he's. launched a series of trade investigations into numerous european countries basically saying hey are you unfairly taxing us if you are 7 then we're going to put more tariffs on you so it's this tit for tat retaliatory attitude that could potentially lead to even more economic problems not just at home but across the globe so you know u.s. companies may think they have the choice to walk away but you know the biggest thing that these tax taxes the new tax system or actually has going for it is that

you know they're outside the scope of tax treaties so they the u.s. doesn't really have a leg to stand on to say no we don't want to pay it well there were already taxes implemented over the air bus issues that we saw with the united states putting tariffs on certain products from from europe so i mean only only time will tell but it doesn't look like you said like this will go away i hope and pray that we don't come into another tit for tat trade war because again the united states and other world markets cannot afford any more money barrels contributor with america's lawyer thank you so much for your time. sarah. time now for a quick break but stay here because when we return chairman jerome powell says the federal reserve is ready to buy a corporate bonds to keep the market moving but critics say it gives the fed too much power to pick winners and then pick losers as we go to break down the numbers on the.

tara reid outbreed i turned on the t.v. on the about the world it was happening around me i see shows on the screens but in last every day because the fake news narratives that a state lead to maybe cooling his clock build enough prisons with farm after barbara fabric globalists to make it my own house plenty off this endless war but i found a network that will question science great news that space civil strife climate

change savile will be called simplify lists all the mainstream wants to do is keep us quiet you watch the right you can't keep a silenced critical point says both perspective question inside direct we don't take sides we walk the walk our t.v. america of means real talk. you cannot be lonely with yeah you like. i'm holland cook i invite you to climb with me both of the mainstream media buyers

and from that higher frantic search to glimpse the big picture question more. the world health organization has welcomed the preliminary results for the steroids xom at the cell in that country critically ill kovan 1000 patients published earlier this week however w h o chief ted rose added on gabriel said research was providing green shoots of hope and should be reserved for serious cases in which it has been shown to provide benefits all this while the agency hopes for a vaccine by late 2021 we're hoping that didn't 2021 that we will have $2000000000.00 or one or 2 or 3 effective vaccines to be distributed around the

world because of all the investments going into this week let's see we will have $2000000000.00 that's by the end of 2021. we should be able to vaccinate at least these priority populations. there are about a dozen kovan $1000.00 vaccines in early stages of testing worldwide the w.h.o. is currently working on developing an allocation framework for how these act scenes that would be distributed. for having a better idea of how the federal reserve bank's corporate bond buying program will play out will corning to fed chairman jerome powell the program will entail mostly individual company debt rather than exchange traded funds well powell told the house financial services committee on wednesday over time will gradually move away from e.t.s. and move to buying bonds powell said it's a better tool for supporting liquidity and market functioning well joining us now to discuss the film best co-host investigative journalist and michael pentode but

let's start with you explain this corporate bond buying program to us and exactly how it works you know a lot to talk about here but essentially back in late march the fed announced they were going to embark on really 2 facilities which they said would jump start this $9.00 trillion dollar corporate debt market and what they said they were going to do was essentially go about buying bonds directly from the issuers in one case and in the other case that with them purchased them on the open market now as you just said that german drone powell on wednesday came back and said that rather than doing that through e.t.s. they would now kind of focus on buying them directly from the issuers themselves so that's kind of the general picture of what this consists of but obviously there's a lot of details when you really look into how the fed is going about doing this and whether or not they even can be doing this under the way that the laws are shorter right now it is and it's been criticized for it now it's a big move on their part from what they've already done michael what makes this program so unique though compared to other efforts by the fed it to keep this u.s.

economy moving forward. well 1st of all banks ramiele the program so 1st it was the size you know from the wave of the great recession already through the peak of the fed's balance sheet that was 7 years in duration and instead of crisp and $3.00 trillion dollars well you know what in less than a year the fed's balance sheet increased by $3.00 trillion dollars it is now $7.00 trillion dollars in size and by the way the fed's balance sheet is supposed to be something composed of government guarantee debt a small city buying sure asia reads results resupplying funds for the fed funds market which is overnight lending between 2 banks were to actually get the rate to buy junk bonds collateral is a loan obligations treasury and the fed are set up for usual orses and not many

people care because stocks are almost back to an all time or michael powell thing that the fed to keep markets going to keep market liquid but there is obviously a lot of criticism in this program. yet good market who is that we're in the fed's mandate i thought it was full employment stable prices of course they were places presence now means 2 percent inflation and that's a symmetrical target so now it has to be above 2 ringback were the same duration and amount that it was low to and right now the way the fed measures inflation is 0 so this is what's happening now opens the treasury market the municipal bond market the corporate bond market to jump on the market the c l o mortgage and by proxy the real estate market and the stock market they're all in a massive bubble all by the federal reserve if you never simple a hole remind you that in 2019 they were reducing the size of the best balance sheet went from 40 m. chilean to 3.7 trillion and the wheels fell on the economy it went bad security and

lower rates retire. since you already have it 1.74 percent so there's traps never a want to spend it's going to grow and grow and grow and so we sat and played our way into it with all the right had already been lower and had already been lowered prior to preplan demick but i think people forget that so i guess the point you bring up a good people forget how much the fed actually how many of these entities the fed actually own but better go have. they only i mean i'm sorry and recent years are going to them for i was watching some other channel say c.n.d. yes i would say your name channel and they should and this is where they say this is not really relevant in the room because they are not buying assets oh well market prices below they are the mortgage or certainly these mortgage prices we should be very concerned doesn't sound like a free market these days ben michael just pointed out some of the biggest problems

right now but there's been other criticism to indicate that what the federally is doing isn't even legal is that true well it's not really legal because it's exactly what michael just said he made several great points there but essentially what you're talking about is the fed has a mandate for unemployment as he said they they deal with interest rates they keep those interest rates low there's a lot of questions even about the tactics they've already used in the devaluation of the dollar as a result of what the fed has been doing but here's where this is especially significant is what michael pointed out here is that ultimately the fed right now is buying junk bonds they are buying essentially bonds that look if you go back to 2008 what was the problem that we had we had bundled junk bonds that is essentially crashed the market the 1st time the fed is now going out and buying these up right now and saying that this does fall within their mandate because essentially the fed is pretending that its mandate is to save the u.s.

economy it is not the mandate of the fed to save the u.s. economy and by the way when the fed decides unilaterally that this is now its mandate it also means that the fed is deciding what saving the economy equates to and the fed doesn't that have the authority to do that and to decide what it has the authority to buy and to take up so essentially what's happening is the market is being flooded now and the only thing the fed in the past has been allowed to do is buy up these e.t.s and now they're saying we're not going to do that anymore we're going to go directly to the issuers. of these junk bonds and we're going to buy directly from them where is the accountability in that process and there is 0 well about let's turn it over right now to the employment numbers we've talked about this early in the show we've seen the unemployment benefits rise to new levels paul is now saying that those should be extended beyond july while others are saying that they're going to deduct the weekly unemployment check that people are receiving why is that so essentially what's happened is this that with the unemployment insurance and issuance that's been going on since coronavirus came

along congress up the amount that simply people received by the additional $600.00 the problem with that is by upping that to $600.00 and that was supposed to last until july 31st by doing that you're essentially making it. basically a better value for someone to be unemployed and receive that check than they were having the job that they lost as a result of coronavirus so there are a lot of workers out there who say right now i'm making more money through unemployment than what i was getting right by actually going to work so i don't plan to go back to work or i'm going to hold off as long as i can the problem is yes you're trying to help people in the short term by saying we don't want there to be a big shortfall but what jerome powell is telling congress is that is that congress needs to extend this and keep it going indefinitely in even give a timetable for when to do it he just says continue with past july and keep it going and if you do that your d.d. incentivizing businesses to reopen and people to get back into the right force not that i internet dangerous thing that's why investors are so into the market michel

last question the fed will probably not lift all companies with so much stimulus that not all sectors what does have strong factors that we're looking at some stock strong picks in your opinion. well 1st of it's a bit better is very great and he's got great here and. there i would say this that it is 29000000 people unemployed right now so if you're out there buying momentum stocks and stocks you could get crushed were really were you know high right now you can't really buy the bond market because a 0.7 percent that's and you're offers little to no protection option i mean the. role i would say you have to do is you know some precious metals farmland. and maybe some place you know platinum that where were you hiding i mean i want an active strategy long and short term as you said you were very well for us thank god but if you're a passably manage you're going to get slaughtered well absolutely and i will see how much more the fed plans to do because they won't stop until they said that the

recovery is maybe in a few years michael pentode president and founder of pent up heart failure strategies been best co-host and best again of journalists and so on thank you both for your time today. that's it for this time you can catch him bust on demand and catch us on youtube dot com slash boom bust our team wealthy in acting.

look. the guy down the block from where you. are fanning. stop being. created an extension on a sound she bought a new boat he got a new car plus 5 new cars he brought another new he brought a lot of jewelry he's live in a large would you say. well on that street just forced. into that. because he's able to make money and spend that money would you say that i mean that's not hard to comprehend. if the epidemic continues as a disease the economies will not recover we will not trade tourism

. investments we will have continuing very deep economic crisis. hello and welcome to redacted tonight v.i.p. camp today i talk with journalist photographer filmmaker and creative activist eleanor goldfield she's also the co-host of my podcast common sense or but she has a new film a new documentary out called hard road of hope about the long term destruction of the land and the people of west virginia it's a beautiful and powerful film but she has also been covering the recent protests against police brutality so we'll be getting into that as well later in the show

naomi cure vonnie will break down the militarization of our police and handers really will get into the insurrection act of 1807 which trump said he wants to use to go to war with protesters but 1st here's my interview with eleanor gold eleanor thanks for journeying all the way from our podcast to my show i appreciate it. thanks so much for having me i want to get to the new film and a moment but let's start with the nationwide black lives matter protests you've been at some of them as have i but you were pepper sprayed and saw some harsh police action can you talk about that and how journalists have been treated so far in these protests. yeah i think it's an interesting thing that the folks kind of erupted in shock folks that aren't already familiar with alternative journalists and and all of the things that we have to deal with but.