Hi everyone, this is Dr. Nitin Chhoda with Ignition Time and welcome to my channel. In
a brand new interview today, the White House trade advisor Peter Navarro held an interview
where he talked about the upcoming stimulus cliff. Where he talked about
a chasm that we are looking down from because the economy is in a very very precarious state.
The effects of the stimulus are wearing off, the effects of all the stimulus so far are wearing
off. That is the first problem and the second problem is that throughout the country we are
potentially looking at a second wave of lockdowns. This creates a problem that necessitates stimulus
now because congress has to act now. The house and the senate have to come together. Now,
Peter Navarro did point out some interesting things that are essentially positive signs
about the economy, about home sales, about consumption, about the stock market but here's
the interesting thing, at the end of the day for us for my viewers and subscribers watching,
it's about putting food on the table, it's about paying rent, it's about keeping the lights on.
Let's hear some of these interesting comments from the White House trade advisor
Peter Navarro about where the economy is now, what the good news is and what the bad news is.
And he did push, he did push for more paycheck protection program money because he did mention
that if small businesses go out of business they can't come back because they don't have deep
pockets. They don't have a lot of financial backing. They don't have a lot of leverage.
They don't have savings. They don't have access to lines of credit like large businesses do. He
did talk about the importance of stimulus checks and he did say that there was a need to extend
unemployment benefits insurance. Let's take a look at the White House state advisor Peter Navarro he
was interviewed today on Fox. Let's roll the tape and let's watch. Here's the good news,
Q2 consumption was off the charts 40%. Never seen it in history. We've got really strong
home sales both existing new home sales durable goods our core capital goods off the charts that
means manufacturing strong and the GDP revision held firm at 33% without any signs of inflation
so we don't have to worry about that. Now here's the bad news, as you said unemployment insurance
claims are up, bad. Personal income is going down. Now you put those two things together and you ask
yourself why is that happening and here's the problem, if you look at kind of the trajectory
of the phase, three phases of stimulus and relief it looks like a mountain right?
We peaked some months ago and what we're doing is all of infusions of cash into the economy have
been going down like this. So we have what I call a second derivative problem. The first derivative
is things are improving but the second derivative is they're doing at a slower rate. What does that
mean? It means, Molly, that we are facing a chasm that we are likely to go into unless we act now.
Now what do we have to do? I understand that the folks on Capitol Hill can't get along and they
like to argue but there's three things they need. Yeah they haven't worked too quickly that new
stimulus data that people have been looking for. We need to top up on the PPP, the small business
loans that was extremely successful keeping the businesses employed. If you lose a small business
they ain't coming back. We need to save those. We need another relief. Check for stimulus to
families like the $1200 check and we need a reboot on our unemployment compensation, Molly. If you do
those two things three things we've got a chance of of bridging this is not this is a fiscal bridge
to win i know there's a lot of people that would like to see that bridge come through
now here's something interesting while one part of our economy while one part of our population
is struggling individuals in travel leisure entertainment and hospitality have lost their jobs
in many cases permanently long-term unemployment is rising there are the individuals who are doing
well if you have money in the stock market you're probably pretty happy right now even though the
market has cooled off a little bit today yesterday the market hit 30 000 in fact you see this article
on your screen from the wall street journal and the article says the dow hits thirty thousand
another sign of economic resilience amongst amid the pandemic and in fact the article
says and i'm actually going to quote from the article and by the way we'll provide you with
a link to the article and all of our resources in the description section below the article
says the american economy is a wonderful engine of prosperity left to its own devices and on tuesday
it proved this again with another surge in equity prices that pushed the dow jones
industrial average above 30 000 for the first time stock prices rise and fall but this symbolic
milestone of optimism for the future shows the economic resilience despite the covet 19 plague
so let me know what you think about this because this is essentially the wall street journal saying
hey we're doing well because the stock market is rising despite all the problems that are
facing our country here's another quote from the article meanwhile overall u.s growth continues
to surprise for the better the housing market is booming and consumer and small business confidence
are strong the unemployment rate is down to nine percent and continuing jobless claims fell another
429 000 in last week's report americans have enormous savings they can deploy which explains
why consumers keep spending despite the pandemic auto sales have been strong no doubt in part
because people are flying less and aren't taking the usual vacation so i want to ask my viewers
and subscribers do you agree with this wall street journal article do you agree that essentially the
american economy should be left to its own devices in fact what is the consequence
of this kind of approach if Peter Navarro was actually asked this by fox let's listen to his
response he did point out that there needs to be more stimulus for two reasons number one
the effect of the first three rounds of stimulus are starting to wear off and number two we are
starting to face second lockdowns in states across the country because this pandemic
is surging across the country now as you might expect he did say that the reason the economy is
resilient is because of the policies of the trump administration he also said something
that was very interesting which is that he was anticipating a second trump term he did
say that i want you to watch this segment for yourself and be the judge and let me know what
you think of this push for stimulus from the white house trade advisor peter navarro today
on fox let's roll the tape so resilience you know that sounds wonderful and for folks that have some
money in the stock market could be good news for them but what does it mean uh for those folks that
are out of work right now when you see these great numbers something to celebrate talking about the
power of our economy possibly bouncing back we do have the vaccine potentially folks might be
getting it a few weeks from now i mean do those things tie together for a much better january
february march april something to look forward to post holiday let's first understand the source of
the resilience it's basically the the five points of the trump administration's policy compass
uh you get like the tax cuts the deregulation the the fair trade um you've got strategic energy
dominance and you've got strong defense spending now i'm fully anticipating a second trump term but
if you have a flip of any or all five of those all that resilience goes away number one and
number two as i laid out just earlier here we are facing a chasm here because of the fiscal stimulus
and relief packages going down and we're entering a lockdown molly a second wave of this lockdown
and those twin forces are going to really hit us in a way that unless capitol hill gets its
act together and steps into that breach to mix metaphors there we're going to have an
issue so this is this is what the forecast looks like so on this day let's be clear what capitol
hill has been informed of there's there's trouble ahead they need to act now they can't wait until
millions more americans fall into that chasm and won't be able to get out you look miley you lose
that's it everybody let me know what you think of peter navarro's interesting comments
in the comments section below you'll find a link to all our resources including this
rather interesting article from the wall street journal in the description section below that's
it everybody thank you so much for watching i hope you learned something new from this video
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