Brief Summary
The hosts discuss the recent stock market selloff, the potential impact of tariffs, and the uncertainty surrounding the Trump administration's economic policies. They also touch on the bond market, private equity, and the tone-deafness of the Treasury Secretary's financial literacy advice.
- Stock market selloff and potential impact of tariffs
- Uncertainty surrounding the Trump administration's economic policies
- Bond market and private equity concerns
- Tone-deafness of the Treasury Secretary's financial literacy advice
Introduction
The hosts introduce the show and today's topics, including tariffs, the stock market's worst April since the Great Depression, China's warnings to other countries, the Pete Hegseth saga, Kirsty Noem's stolen purse, the Trump administration's efforts to boost birth rates, the fight with Harvard, and free speech attacks. They also mention an upcoming AMA for premium subscribers and encourage viewers to like, subscribe, and leave reviews.
Stock Market Selloff and Tariffs
The hosts discuss the massive selloff in the stock market, noting that the Dow is headed for its worst April since 1932. They attribute this to a lack of confidence in the administration's trade negotiations, particularly after the Japanese prime minister left Washington with no deal and counter-signaled the Trump administration at home. The hosts also mention Trump's attacks on Federal Reserve Chairman Jerome Powell and the weakness of the dollar.
Bond Market
The hosts discuss the bond market, noting that long-term bond yields are blowing out. This means that debt servicing and interest rates will be more expensive for the government, and it indicates a selloff or lack of demand for the United States dollar and bonds. The hosts attribute this to uncertainty and a reaction to the attacks on Powell.
Private Equity
The hosts discuss the private markets, noting that Blackstone is down 40% from its November highs. This is a bad sign because it means that Blackstone may have to start selling assets and laying off employees. The hosts also mention that venture capital and private equity are drying up, which could lead to major problems in the markets.
Trump's Economic Policies and Global Populism
The hosts discuss the Trump administration's economic policies, noting that they lack certainty and strategy. They argue that this is undermining global populism, as countries are now responding to their own economic needs at home and counter-signaling Trump on tariffs.
Secretary Bessant's Financial Literacy Lecture
The hosts discuss Secretary Bessant's financial literacy lecture, calling it tone-deaf at a time of financial stress. They argue that it is hypocritical for a near-billionaire to be lecturing people about savings when he is "screwing with the bond markets" and "nuking" their 401ks.
