tv Boom Bust RT April 12, 2019 8:30pm-9:00pm EDT
mark was the day that when he was five and noticed something wasn't right in fleece where pretty much when i first started my dad. and the wing it wasn't what i wanted to do. we've had more shootings in this county then some states have had. to go and went to his website began featuring. his family the sheriff mike that. squash you like a book you know i wish you'd stop then you should stay on the left and stuff i believe what i'm doing oh so it's ok you know it's your funeral building. critic in this house. i snuck out of the united states. into russia political science. men they know bad wolf.
and welcome to boom bust broadcasting around the world and covering the world of business and finance and the impact on us all i've been filling in for bar children in washington glad you're with us so coming up after years of the ravings of western powers could china's built in road initiative face some competition hillary for which the c.e.o. of the thing and it sift through what could be a major move in international development and speaking of china the nation's auto sales team a major slump so what's behind lauren fix the car coach take us on a drive through this and several other major auto headlines from across the globe plus the i.m.f. and the world bank are hosting their annual spring meetings in the nation's capital and. we are on the ground harvey correspondent there
a month as the old go brings us the latest on these from up close all of that directly ahead but first let's do some headlines and let's begin right here with another twist in the ongoing drama of the u.s. china trade war data today shows that chinese imports took a major slide and march falling seven point six percent when compared to last year this major tumble comes on the tail of a dismal slide in february a five point two percent now while these numbers are stark the picture is even more grim when taking a look at the nation's imports from the united states according to data imports from the u.s. it fell twenty eight percent while exports to america saw a three point seven percent decline despite these otherwise troubling numbers from domestic consumption exports from the people's republic saw a surge last month jumping by more than fourteen percent all of this news comes as the u.s. china trade war is slowing to a crawl in contrast from previous months in an apparent all of branch to reach
a solid trade deal china has offered up to open up its cloud computing sector to u.s. tech companies that's according to the wall street journal. well have you heard of a federal agency called opec not opec opec most people have not but zero pick or the overseas private investment corporation is a u.s. federal agency that connects private and american linders with governments and developers in developing countries oh pick and its counterparts in canada and the e.u. they have just signed a memorandum of understanding here in washington now according to a statement put out by opec that middle of understanding will enhance cooperation quote to advance shared development objectives and underscored the participants commitment to providing a robust alternative to unsustainable state led models in quote what so that's not very clear at all joining us now to help us explain and understand what opec is doing is hillary ford which the c.e.o. of strong work hillary glad you're here all right let's translate that to begin
with what exactly does this agreement between opec and canada and the e.u. was initially do at this point and what it actually is in a nutshell to make it clear you're right certainly is an opec opaque what it is it's really that it's to counter what is known really as the debt diplomacy from the chinese that diplomacy is the sort of china club that they're stop watching around the world and it means that small nations that are given a lot of these funding projects a lot of infrastructure projects spend afterwards they default on these loans and they default on the payback and therefore they become indebted to china now president been complaints every where from countries like pakistan sri lanka my anima so essentially nobody is going to loan you money without strings being attached of course and in this case obviously china is lending the money you default on it now you will china exactly and so what the u.s. essentially is doing is saying go to china oh us yet countering that and giving another alternative and that should indication that how successful this project has
been is that the budget has been raised from thirty billion to sixty billion then and yes it's to counter what the chinese are offering a good example actually would be for example in africa the child. these have extensive infrastructure projects in africa the african nations welcome this with open arms bar two of lot of people don't realize is that not only is most of the or global or resident in africa being mined from africa by the chinese but importantly radium so most of our viewers might say well what's already i'm ok reem goes into every cell phone is critical for the future of technology the chinese have a long term plan here and that's what this is about yes it's countering what the chinese are offering which is very tempting to nations but interesting though a nation that you really wouldn't expect and you wouldn't usually lumped into that group of sort of sort of poor nations or more underdeveloped nations that have been susceptible to this is italy italy has just signed on to the chinese program well that's a big threat and that's a threat to europe hence the e.u. canada and the united states uniting under this recent agreement so essentially
they would say you know again don't know the chinese actually get it yeah that's exactly what it is but didn't the u.s. and the e.u. kind of mock the chinese about this for a while it was almost as if this china called the what belton build cells and. the belt road provo building roads out of sloppy a tim to exert itself and it was initially because you don't seem serious but china of course obviously has a body that series line each and china has come leaps and bounds and as somebody once said to me within china we will see all the cranes and everything going up there it's basically organized capitalism that's what it is but it's organized centrally by the government and yes they're trying for global dominance and this is one of the tactics that in the u.s. has already done this in a similar deal also with australia in japan correct yes and there aren't many projects that you can really sort of point to and i think that's why the funding has been stepped up ok what we have you here to talk about i know you're going to go heavily and we have to go to a reporter you want to talk about how it is that where you are right we reported
this yesterday there right either a serious accident that brigs a deadline to october thirty first i.e. right if no deal was made by may twenty third. then the u.k. would have to participate in the e.u. parliamentary election correct which is what they were trying to avoid right they've extended this out now do you expect to see a deal get done or are we going to see come october thirty first you're going to be sitting there i'm going to be sitting here we're going to have the same conversation again about what's going on with briggs it and where is the next of course is you know teresa right and they see the injuries and they has reached out to jeremy corbyn the opposition leader of the labor party because she's desperate to get a deal through and i think when you get concessions that are basically conceding to what the labor party wants they could be a deal that more people will vote for that doesn't mean to say it's what the british public voted for seventeen point four million who voted for rex that that it would be a deal closer to the e.u. in the customs union and there's more of a likelihood of that going through the other reason of course why the e.u.
has extended to halloween october thirty first is because they're hoping that they'll be another referendum and as most people have predicted due to the demographic shift since two thousand and sixteen there's a greater likelihood of brecht's that failing a brecht's it back to being a vote if there was another referendum that's what kind of the e.u. is banking on because remember the greatest percentage of people voting for bracks that were actually elderly sadly some of them of many of them a pasta way now plus a lot of voters that were too young to vote at that point who would vote to remain have come of age and that's what this is about and you think the demographics or at least the m.p.'s are hoping the demographics will have shifted enough in just two years those that want to remain those that want to remain would like another referendum for that reason also there's also the sort of idea that many people weren't ready and didn't even think that bracks that would have even happened or be voted for and now remain as have rallied and they would be out in force to vote but just to be clear you think that they will not make the deadline before the e.u. parliament or elections that will still have to go forward and i don't think so
unless there's an alignment with labor which may happen which i hope and hillary for which the c.e.o. of straw mark we had a whole bunch of different subjects but we have. your time. well walt disney stock is on the move up today up more than ten percent in fact that's a big jump with the announcement and more details being given about the new streaming service it is called disney plus it's a big deal this stock hit an all time high after the media conglomerate price their new service at six ninety nine per month disney plus will launch in november twelfth here in the u.s. it will feature content from many of the brands that the company has been acquiring over the last decade the service will include content from marvel star wars pixar and of course legacy disney properties following the acquisition of twentieth century fox all thirty seasons by the way of the simpsons will now be available at
launch as well as programming from national geographic again a very very good day for disney shares of netflix they took a hit on friday sliding by four percent as their lowest tier streaming plan is still two dollars more than disney plus. well time now for a quick break but hang in there because when we come back to be in the world they are hosting their annual spring meeting in the nation's capital right here and we are on the ground. brings us the latest on the meeting. and as we go to break here are the numbers at the closing bell.
the spotlight you know it's easy. for the gate have to be changed. living with. historical legacy sophie does. most of this miss a legal frameworks you invest in well all of them are designed for industrial base of russia and now we are moving and i think the problem is that our concepts are lagging behind.
and welcome back j.p. morgan chase announced friday that it posted record for an eight hundred sixty nine point one eight billion or two dollars and sixty five cents per share in the first quarter and outpaced estimates of two thirty five per share growth j.p.s. c.e.o. jamie dimon issued a statement saying that the gains pushed back against those who worry of another recession quote even amid some global geo political uncertainty the u.s.
economy continues to grow employment wages are going up inflation is moderate financial markets are healthy and consumer and business confidence remain strong and quote the revenue rose by five percent to twenty nine point nine billion exceeding previous estimates of one point five billion the institutions said their income growth was due largely thanks to the impact of higher rates now this has been able. rated by a massive increase in their retail in the business or profits rose nineteen percent to three point nine six billion dollars the stock started trading up at four point two percent on the news opening the door for the largest one day increase in price since november of two thousand and sixteen. with the economy of argentina is a big topic of discussion as the international monetary fund world bank spring meetings kick off this week here in washington d.c. with presidential elections slated for late october in the south american nation the i.m.f. chairwoman christine legarde advised presidential candidates against stepping away from recent economic reforms that she claims will create growth heading into two
thousand and twenty saying quote now that so much hard work has been done in a program where social protection has always been one of our three key priorities it would be foolish on the part of any candidate to turn their back to the work that is underway in quote the i.m.f. estimates south america's second largest economy will con will contract by one point two percent this year but will see growth in the second half of twenty nineteen followed by a two point two percent increase in two thousand and twenty the guard has a stake in the fight as argentina secured a fifty billion dollar financing package from the i.m.f. in june before securing an additional six billion dollars after asking for more in october. the economy shrank by three point five percent in the third quarter of twenty eight team while poverty has risen to thirty two percent in argentina from twenty six percent in years prior. and as we mentioned the i.m.f. is hosting their annual spring meeting right here in washington d.c. today where a whole list of items will be up for discussion for more of what we can expect from
the i.m.f. we turn things over to our team correspondent sara bond has a. work here just outside the international monetary fund in washington d.c. where a meeting there under way and get killed throughout the weekend on the agenda and the economic pretty well great job and often topic like that well in recent days we heard the i.m.f. is highly learned about the rising global corporate sector director of the i.m.f. monetary capital market department told us adrian told the n b c we are particularly worried about the corporate sector where leverage is the right thing underwriting standards and markets are the corporate sector are hearing the private sector that has risen in the aftermath of the come down from the financial crisis has made borrowing for steadily cheaper and investing in the type but that has provided investors with a higher return here for government. global growth lost momentum
throughout two thousand and eight team falling to two point seven percent in the fourth quarter down from three point three percent in the first quarter based on world bank calculations the deceleration. was seen in both advanced and developing country economies and it coincided with three other warning signs waning structural reforms in major economies financial stress in some large emerging markets and elevated policy uncertainty globally and also i think that they feel with the i.m.f. that are fake. hired the head of the i.m.f. christine lagarde warns that even the patients that need it much more regulation and. we don't want innovation that would take them so much that we would lose the ability that we needed a teaching years a little here while the i.m.f. tried to help on helping developing countries for
a need of large. personnel back in february the i.m.f. reached a four point two billion dollars deal with ecuador south american countries is already struggling with a large fiscal deficit and a pretty heavy foreign debt other country will also receive an additional six billion dollars in loan or a multilateral institutions this includes the world bank in or american development bank and the d.a.'s and development bank to predict what we need to feel as a potential factor in ecuador revoking the limit on the island just this month and today's meeting the i.m.f. is also expected to address it right then and now the head of the i.m.f. and the world bank are now faced with the big challenge on whether or not to recognize the opposition leader and self-proclaimed president as the country's leader new head of the world bank david malpass border ordered the benefit of the current so that the world bank will be deeply involved and we are preparing
watching just to see how exactly you she may get involved and to what extent reporting for boom bust there montecito. american oil giant chevron has into a thirty three billion dollars deal to buy into darko petroleum the agreement will boost chevrons natural gas and shale business in announcing the acquisition chevron said it would issue two hundred million new shares and use a billion dollars in cash to make the purchase they will also take on fifteen billion in debt the deal is one of the largest in the oil sector since the two thousand and sixteen acquisition of b.g. group. by shell for fifty billion on the news anadarko stock shot up to sixty five dollars per share nearly forty percent higher than thursday's closing price chevron has made a name for themselves with eight thousand gas stations in the united states and eight of their own refineries and the darko on the other hand has focused their business on production uproot oil and natural gas they sell their product to other
companies to then refine the product chevron stock was down roughly five percent following the announcement of the deal. tesla's model three was supposed to be it was supposed to be the affordable tesla it's just thirty five thousand dollars for it was a relative term this was the vehicle that would make electric vehicles more accessible and more affordable but it turns out it's not going to really be that accessible after all tesla just announced in a blog post that it will no longer offer the tesla three online you will now have to call tesla or visit one of their dealerships to order one where can you even find those oh and many of the features that would encourage people to buy a tesla have been nixed from the model three standard version including online purchase we told you about that but also having any kind of decent range on it and even heated seats joining me now to discuss is lauren fix the car coach. and thanks for being here thank you for having me so tesla seems to continually have missteps
it seems like especially when it comes to the rollout specifically of model three why is that. well you made a big promise of offering thirty five thousand dollar cars which caused a lot of people to put deposits down but they never received those vehicles and now with the removal of the thirty five thousand dollar car you can no longer go into the store and purchase it like a tech item which was the whole concept of buy it online now you're going to have to make a phone call or potentially find a store that's still open because they're having some massive cost cuts and of course that also includes cutting of employees and having some other issues as well as lost sales and there's a lot of interest in the product has waned especially with the loss that seventy five hundred dollar tax credit being cut in half and by the end of the year it'll be gone well obviously yeah that's a that's a huge concern and as you said the model three standard was the one that obviously they kind of done some of this they're saying they're going to offer just the last few days have been kind of dismal for them but it's not just been the last few days
right that me this is an ongoing problem that we've seen especially in the last few months with tesla and it seems like announcements that are made in and then revoked in the may to get in. disarray well i mean that is unfortunately you know i think that expected when he announced the model why that there would be a big boost in stock value but it didn't it went the other way because no one got to see inside the vehicle people that i know were there said that it wasn't really a functioning vehicle and so when you present something to media especially they get very excited and want to see it but when you're sort of not giving them the details not telling them how to order sort of keeping everything behind the scenes plus lost sales and having trouble raising money and bills being due it sounds like tussles running to the same problems that most car manufacturers are running into now he's a smaller manufacturer and he holds only saying that is also causing some financial issues where a dealer has dealer responsibilities and finance laws where they protect consumers he no longer has that we never did have it because he's not
a dealer network he's selling themself as a tech company but he's really your card. company and so i think this is causing a lot of confusion consumers aren't that loyal to him when you've got the out each trying to get the jaguar eyepiece you can purchase a nissan leaf or a chevy volt e.-v. all for reasonable prices and there's a dealer network that will support you and you'll know they'll be there in ten years right and you don't have to go to the mall to find the tesla store that might be available in your city. for a second shift gears just a little bit they're getting ready to launch their i.p.o. but it is there in the filing they put out it showing some concern in numbers about the business bottle the company said in this filing for instance it lost one point eight billion dollars in twenty eighteen which we'll talk about that in a second because how do you lose one point eight billion if you're excluding certain transactions the revenue was what he led them point three billion the other very important takeaway from this though is that growth trajectory according to this recording is starting to really slow down is this really bad news as they
start approaching this i.p.o. . the timing is certainly not good and neither was it for a lift when they started off at a high i.p.o. and now you're watching the stock value dropping quite dramatically so now when you're looking at goober when they do their i.p.o. timing is going to be everything if you remember they've had a few issues they wanted to get involved in autonomous they had a death with an autonomous vehicle and still they've got a lot of competition lift and other car companies and on a global basis they may be doing ok but they've got d.d. out there and they're really pushing hard against them so with the onset of ride sharing and things seem to be going well and then you have a death like samantha josephson here in the us that's a big problem and it causes a lot of concern for investors are they going to invest in a company that may have to make some serious changes and may impact them on the bottom line. let's talk about a couple of other quick automotive stories before we go here carlos in the former chairman of need some motor company is being held in tokyo on claims of financial misconduct it was reported today that his detention has been extended by
a tokyo court until at least april twenty second which quote i'm going to quote here gives prosecutors extra time to grill him for up to six hours a day in a bid to extract a confession and quote what is going on with case well unfortunately what here's what you can find out if you do a little deep dive into this and since this is my industry carlos goanna actually saved nissan he partnered in with ray no which was a debt free car corporation and mitsubishi and he is the genius upon the success of nissan and he was about within two weeks of merging rayno a nissan together so that they would be a more stable corporation nissan didn't like that and the japanese culture did not want to be partnered with a french car company so they set him up for this now whether we it's true or not i tend to believe carlos gone because all the arrows point to the fact that they did anything they could to put a stop to this they removed him from the board he was let go as president all these different locations his wife is even gone to the country of france asking them to
help the u.n. has got involved he was going through some kidney cancer treatment and they stopped that in order to put him back into prison and this is gone beyond just a coup when you're potentially hurting someone's health you know i expect that this is going to have to have some big outcome or there's going to be egg on nissans face lauren fix the car coach your time this friday thank you ninth straight month in march total for you cool sells so to two point five two million which is five point two percent down from a year earlier bad news for the chinese automotive industry if there is any good news though for the chinese here the china association of automotive manufacturers is that the decline has been significantly reduced that would be the good news. thanks for joining us today that is our report be sure to catch a boom bust on you tube dot com slash boom bust.
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division opens up in the united states over julian a songs with some rights groups and even a twenty twenty presidential contender offering their support all of those them on the swift extradition and trial of the now arrested whistleblower. hope we are going back to united states with these false hopes to the sonship drawstring of the message that we are getting that the in. people are getting by what's happened here today is you know be quiet the line otherwise there will be consequences approves arms exports of saudi arabia. according to german media reports. a branch of sudan's military announced his support for transparent elections with