tv Boom Bust RT December 14, 2018 5:30am-6:01am EST
much for joining we are glad you're on board coming up today there is apple news we'll take a look at apple amazon and general motors stock and up markets generally with the annual shape of simpler trading she's standing by in seattle plus we talk about the print predicament how papers are faring in the digital world with host of the big picture of holland and later we go to the united kingdom and talk of metals silver and gold and even kryptos with andrew wire the c.e.o. of close start to go lone star all that directly had but first let's get some headlines let's go to. the end of an era in european monetary policy it leads our global report today as a european central bank declares the policy of quantitative easing will end this month the controversial policy abbreviated as q.e. began of march of two thousand and fifteen and resulted in the e.c.b. purchases of bonds costing over two point six trillion euros it's about three
trillion u.s. . dollars and other market moving news the e.c.b. lowered its official euro zone growth projections for twenty eighteen and twenty nineteen earlier today e.c.b. president mario draghi quite remarkably claimed or conceded i guess at times that the policy has been quote the only driver of this recovery mr druggy also reflected on the upcoming twentieth anniversary of the introduction of the euro calling it an occasion for quote candid and close to introspection that could inspire future action on how to complete the monetary union. and ten cent holding that china has completed the initial public offering or i.p.o. for their spinoff music entertainment group raising a one point one billion dollars shares went up for sale in the new york stock exchange yesterday fourteen dollars per share ten cent music is seeing growth pushing towards thirty percent this year helping the company to gain over rival spotify ten cents twenty five million paid subscribers still like far behind the
eighty seven million paying listers that spotify claimed in the earnings report for q three. falling fuel prices are given are expected to give a much needed lift ailing global airlines next year and twenty one thousand according to an industry trade group the international global transport association . based in geneva released projections including an increase in net profits to thirty five point thirty five point five billion dollars next year up from an expected thirty two point three billion dollars figure for this year growth industry revenues for twenty one thousand or expected to rise to eight hundred eighty five billion dollars an estimated seven point five percent increase over this year i eighty eight says they are cautiously optimistic projections are premised on expectations of an average sixty five dollars per barrel for brant crude down from seventy three dollars this year. and apple incorporated says they will open three new office locations of the state of washington and california and
spend a billion. hours to construct a new corporate campus in austin texas apple says that between those new projects and staff increases existing locations they expect to hire twenty thousand new employees over the next five years apple says their new austin site will hire five thousand new workers adding to the sixty two hundred employees at their existing off austin offices the announcement moved apple significantly toward filling a pledge made in january to hire twenty thousand workers and invest thirty billion dollars in the u.s. by twenty twenty three. and speaking of austin and apple we now take a longer look at apple stock with danielle shay of simpler trading which is based ironically in austin although today she joins us from seattle that's ok we'll talk amazon stuck in a moment there of course there in seattle danielle welcome back. thank you so much good to see you again so what do you make of all of this down in austin you and
your colleagues there it's simpler trading it's a good thing it's an addition so it's not like it's a big new move but it's a lot of people. absolutely it is a lot of new people and first of all i would have to say that i think that the selection of austin by apple was perfect i mean austin is a great tech hub there's a lot of potential for growth there's a really low cost of living i personally love living in texas in the cultures amazing so i think it's a good selection on apple's part but when you look at it from those folks who are living there it really depends who you are so first of all if you're in the tech industry. it'll be great for you because you're going to have right things salaries and you're going to have a lot of the amazon effect that we've seen in seattle there is more public transportation the city is growing overall so if you are in that text based especially competition from other employers that can benefit you immensely however if you aren't working in the tech space especially people in the middle class
a lot of times that can really price you out of these areas and that leads to a lot of traffic and rising real estate costs so there's a lot of concerns there but for the growing tech industry in austin i think it is very positive positive you know we're seeing the same thing here danielle just over the river in creating a city with with amazon they're going to essentially be at old brownfield site but you know housing prices are already are on the rise there let me ask you about acol apple stock i mean it is down on the year it's down year to date and for the past six months they peaked i think back in august around two hundred twenty five bucks per share but we're trading around one seventy today how does the stock look to you as a buy for investors did you know. so first of all i do own apple stock and i do like it on a very long term basis. however right now on a short term basis apple has got to get it together because apple is in a down trend and i think the problem that we're seeing is the fact that apple is
just so reliant on selling i phones so if they are able to expand their services industry especially i cloud i mean sick stuff like that i think they have a huge potential for profit in the long term but right now i am shorting apple on a short term options basis and looking for that's a continue to trade lower and especially if apple is going to break one hundred sixty dollars from there i mean there's more downside to come so longer term higher but right now it's looking pretty hairy yeah and they've got to figure out those china sales i mean fifty billion bucks yes sales to china but they've got to be able to figure that out by changing the software early something so let's move to amazon based right there in seattle where you are the stock is up on the year in and year to date but down for the last few days they were up above two thousand per share back in september but trading around sixteen fifty at least when i looked earlier what do you make amazon is
a by. so amazon is an interesting case to me because first of all i absolutely love amazon that i've worked all the time i buy everything on amazon i think amazon has worked really hard to work with millennialism the growing generation which is really important for growth but as far as the stock being a buy right now i think it's a little difficult because it had such a rise in a similar fashion to bitcoin and at this point it's kind of just trading back and forth in a range between sixteen hundred and eighteen hundred i think that if amazon can break out of the range above eight hundred then we could see higher prices but so far it's have trouble and at the same time if it breaks below sixteen hundred then that would mean more downside but i think that overall amazon is an excellent company they have really widen their product offerings and in the future i'm looking for amazon to continue higher like yours in the future and danielle we just
have a little bit of time but i do want to ask you about g.m. i know we talked about it before but president trump had something to say today about it he criticized the c.e.o. mary barra and he said in a quote the president said specifically that you to tell me a couple weeks before christmas that she'll be going closing in ohio and michigan and not accept will be general motors is not going to be treated well what do you make of that what do you make of now they haven't had a good year actually. now they haven't had a good year and this stock is not a buy for me and i really don't like to focus on anything that is the focus of trump tweet attacks because whenever we are trying to buy anything that is affected by those tweets i mean honestly it doesn't move the market so i don't like g.m. for a bio but you know what i do like is actually o'reilly auto parts you can see that in the market right now pretty much all car sellers are trading lower but if we do you have a situation where car parts makers are trading higher so focus on
a rally not g.m. and that's what i have for you now that's a great tip and the only thing i'll say about the comments about g.m. is you know my time in the financial regulator was do not try to move markets and it seems like that's part and parcel to the guy's job i guess in seattle and from austin the director of options for simpler trading danielle thanks danielle pre-shared it. and is your newspaper getting thinner look closely are the type font and photos bigger do you even read a hard copy of the paper anymore i do photos bigger do you even read a hard copy of the paper anymore i do arty big picture host and veteran media consultant holland cook is here to talk about print media as predicament holland when bob dylan wrote that song you better starts swimmer you'll see quite
a storm because the times they are russian agent i mean did you ever for see this circumstance back then we wrote that sixty four sixty five everything was about print there were three a television stations what about it he was pressured it's the times literally and as the buffalo news explain to its readers it's the perfect storm for a newspaper the two biggest costs are people and paper when the great recession hit in two thousand and eight and two thousand and nine many newspapers. responded by using less newsprint some made pages narrower others the limb unaided sections the new york times went from six sections to for the washington post eliminated its business section the los angeles times its local news section newsprint is in short supply reader interests are changing and the digital disruption which is remaking institutions as dissimilar as department stores and universities is reshaping what the buffalo news does to so in addition to those supply side factors our demand
mode is changing and just this week the pew research tells us that social media has now surpassed newspapers as a frequent news source twenty percent of americans go social for news and only sixteen percent are regular newspaper readers in one thousand ninety one fifty six percent of us got our daily news from the newspapers so it's no mystery why newspapers are using social so aggressively the chicago sun times has cut monday through saturday comics from three pages to one they have eliminated the t.v. listings grid understandable because now we get so many channels and we can program our cable and satellite streaming channel guides another common trend legacy papers shrinking their print delivery radius the arkansas democrat because that is no longer available outside central arkansas and the ultimate cutback no print
paper seven days a week so far the biggest usa city is pittsburgh where the post is that no longer prints of paper on tuesdays and saturdays the paper explains that simply a matter of dollars and cents over the past quarter century total daily u.s. newspaper circulation has fallen from sixty to thirty five million with national ad revenue falling from sixty five to one hundred nineteen billion in the new. century alone and bart this is not just a usa phenomenon but look what's still selling papers in the u.k. it's the tabloids whose front pages are more akin to the new york post and the new york daily news than to the staid new york times for all the dollar is going to digital and are those platforms pretty profitable. balls and ears are going to do cheadle and the ongoing news paper newsroom bloodbath
continues at the broadsheets i've been impressed by a couple innovative digital pure play papers that i see when i'm back home and no one goal and goal local proud of dot com and rhode island and pioneer valley radio dot com in the springfield massachusetts area are finding ad dollars because they're breaking stories they're going deeper into niche topic feature pieces and these scrappy operations are hiring print reporters and radio talent who have been displaced by cutbacks and consolidation days again by the way on the arkansas democrat the guys that no great loss that it's not available in some of those areas i read it and i apologize to my friends there but they know what i'm talking about how it could coast to the good big picture we sure appreciate you being here all happy holidays coming actually holidays to you thank you sir and time now for a quick break but hang here because when we return we go to the united kingdom and talk metals silver and gold and even kryptos with andrew maguire the c.e.o.
the syllabi ever went on to commit a school shooting so that gives me hope that if you catch the students early enough and provide the kind of support and mental health treatment that they need that they can come out of the crisis. prosecution. zone. where you. just regular. finds somebody known to seem to i mean yeah i mean i mean dude out political pressure on that god you've done it in one called cold you know through security jennifer knows when to pull your bundled up business models he was my american corporations jadhav was called police hold on couldn't matilda's it as a new album use. on the scene and the solution. lies up in association with the potato. i know took any salsa on those it is just some
really really came to an investigative documentary. ghost war on oxy. welcome back australia ships six point five billion tons of liquefied natural gas or l. and she in november to gain the title of the world's largest export to carter according to a report from global market data for reef into australia edged out color for the month for three hundred thousand tons of alan g. the new high for aussie exports as a result of major investment in a new l n g capacity notably
a major offshore project thius in related news french energy major told tal announced earlier today they would sell their four percent stake in the us to impacts of japan for a price of one point six billion dollars. and there is also energy news out of africa as the government of nigeria has filed a one point one million dollar lawsuit against several energy companies including royal dutch shell and any of italy the suit spins out of a failed two thousand and eleven deal to develop the o.p.l. two forty five or oil feed the oil field rather in the gulf of guinea and is a kind of sequel to a related criminal case now moving through a tell you in courts the di jury and statement read quote money is proportionally paid to the federal republic of nigeria where in fact immediately paid to through a company to dan a tete a formally the nigerian minister of petroleum and use for amongst other things bribes and kickbacks nigeria's suit also targets malibu oil and gas
a nigerian company allegedly controlled by the former petroleum minister. and jumping to europe the italian budget drama seems to be entering the third act af. meeting between prime minister decepticon and european commission president sean claude juncker mr conti has now reportedly backed down and agreed to trim spending plans and adjust the projected budget deficit to two point zero percent of the g.d.p. down from the earlier figure of two point four percent most of the cuts would be accounted for by reductions in a proposal for a universal basic income according to the italian industry minister dario golly. and a new mexican president the new all mantell lopez obrador amo is set to unveil his first budget proposal as the business class visibly frets about his spending plans the written proposals expected to be delivered to the mexican congress on saturday
the new president has notably places to invest in education and infrastructure and improve mexican pensions with offsetting cuts in other budget areas on most deputy finance minister has told mexican lawmakers he is concerned about the debt load of state oil company he mixed investors took that as a sign that mr lopez obrador will postpone or alter his plan to build a new p.m.x. refinery in southern mexico. for years there's been rumors innuendo and manipulation in silver and gold markets as for silver there's actually been some evidence of manipulation or at least attempted manipulation our next guest was actually the silver whistle blower back when he came to my office at the all financial regulatory job at the commodity futures trading commission andrew maguire the c.e.o. of global gold star and joins us from the u.k. andrew welcome back. but it's great to be with you and i want to say thank you for you were the only commissioner to publicly draw attention to position concentration
and really this was the key focus to whole market manipulation and let me just say you were the only commissioner to ever take the mouse appreciate it thank you very much well that's nice of you to say and i wish we could have done better back then but it turns out that some of the news that i want to talk with you about now involves that very same sort of stuff so over the years there's been this you know innuendo about j.p. morgan getting these massive positions and some of that actually goes back andrew to when bear stearns collapsed in early earlier i guess spring of two thousand and eight of those positions were transferred over to because j.p. morgan bought them they actually took some of the traders over with them and it created this position that was so large that j.p. actually had to get a waiver from my old agency and they were given a time certain i'm going to be careful what i say i don't know what i can say what
i can't but i know they were given a time certain at which they could get out of those positions they didn't do it quickly enough but there is a former j.p. morgan trader who has now pled guilty to exactly that to manipulating markets what do you make of it andrew. ok i mean this is as you say we've got so little time here but yes that the best ends j.p. morgan story that is exactly when silver. that was to take that was again in that march to two june period we saw silva suddenly plummet from twenty one dollars to eight bucks a very very strange situation i think somebody was getting bailed out there yes this john adman's from j.p. morgan he's just turned state's evidence and we had very similar admissions from h.s.b.c. some of the other bullion banks traders but these admissions only evidence what's going on in the weeds pond and as we know spoofing subheading quote stuffing layering i mean you've seen all this stuff on a range of to traders taxi but it really is these mechanism to illegally move
a gold or silver price for a short term profit or to a level where maybe you meant to make nation can be triggered but but the test for market manipulation is fos tricked and without direct witness admissions like we're starting to see now such as we have it it's in the libel a scandal where it was only the ballinger email. that uncovered that media predation and it's really hard to prove unless somebody has a free pass yeah it is and that was the problem when we did it you know you had to have four different criteria i won't go through them you and i have talked about before it was a really high hurdle to actually prove manipulation which is one of the reasons that i thought as part of dodd frank to get a less high hurdle on manipulation which we got by the way but you couldn't make it retroactive to that point so i'm convinced there were a lot of nefarious actors in the markets then and they moved the prices around but we could not find all of these things that were required to prove it you know i
want to move to gold because you deal with gold all all all the time what do you think about gold recently i know what you're involved is crypto tied to gold but how is gold doing and what do you expect it to do going forward andrew as markets equity markets seem to be taking a little bit of a dive. yeah well this is really interesting there's very little has been written about this now back in two thousand and seventeen there was we had the first discussions the first outline of basil three rules coming into effect on in march thirty first of next year so we're only talking a few months away now this is undoubtedly going to positively impact the price of gold and it's the primary reason that as a wholesaler we see this from the wholesale market size that the l b m a a for costing gold prices to rise to fifteen hundred thirty two dollars during two thousand and nineteen and its member banks are gearing up for it and we see evidence of this of the large whales like the goldmans of the j.p.
morgans of this world purchasing physical gold for their own book now this is the key thing and i think this is the this is the thing where basil three rules change because really what's happening is it's going to formally essentially if we bottom line the bottom line is going to formally remind the ties physical gold now we tend to think of gold in many forms bought however only physical gold will be categorized as a first to cash equivalent under these rules on the bullion banks exposed to the physical market positioning for these higher gold prices now we see you can see evidence of rain it's like iceberg you see one tenth of that evidence being evidence in the c o t report the bank participation reports and how and how options are being priced but as a wholesale we see the likes of the market making the whales and that that's the goldman's of the j.p. morgan positioning long both gold and silver for their own books you know andrew i
you know we did talk about this before so if you want to bail on this question i apologize for it you up with it but can you tell us a little bit about how can ease is doing as as a company and again if you're not comfortable no worries. oh absolutely no i mean i'm very proud to be sitting on these cyber advisory board of can he says i see can he says this solving a lot of problems i mean this is i don't know that tom the c.e.o. of kidneys has been on your show this is a revolutionary new money tree system and what it is designed to overcome is the severe price volatility which is made cryptocurrency is unappealing to use as a tend for mainstream uses now can he says provides the ultimate stable coin and that's a currency which is fully backed by physical gold the silver now is a game changer changer and we've all be waiting for it and it has a say very very proud to be associated it so it had not shell conies is one to one
gold and silver backed currency this circumvents a broken banking system and i seek an ace is as not just providing the store of value in the medium of exchange solution it's it was going to allow the remount to ties in the physical gold and silver and this actually that the launch of can he says in march april comes exactly at the time that we see basel three rules monetizing got physical gold her coming into the market so i think and really interesting time yeah that that's perfect climbing thank you we're out of time but i sure appreciate you spending the time from the united kingdom and you're maguire the c.e.o. of global gold star thank you anders sure appreciate it thank you bot. and that's it for this time thank you for joining you can catch boom bust on youtube dot com slash boom bust r.t. so long for now we'll see you next time.
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