September 8, 2019
It is a metaphor often used to say President Trump’s tweets and media messages are akin to watching a cat chase a red dot controlled by POTUS…. Apparently President Trump also thought it was funny:
It is a metaphor often used to say President Trump’s tweets and media messages are akin to watching a cat chase a red dot controlled by POTUS…. Apparently President Trump also thought it was funny:
White House Director of Trade and Manufacturing Policy Peter Navarro appears on Fox News to discuss the current status of the U.S-China trade discussions and the USMCA.
Ms. Bartiromo points out how U.S. multinationals are holding back further investment in Asia due to ongoing President Trump tariffs. Mr. Navarro points out there is no uncertainty if U.S. companies would invest in Main Street USA.
However, the Wall Street multinationals do not want to give up on their Asian investments and bring U.S. manufacturing jobs back to North America. Hence the conflict between Wall Street/The Big Club and Main Street/President Trump.
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As Navarro noted, the narrative about October talks between the U.S. and China are driven by the collaborative financial interests of Beijing and Wall Street multinationals in an effort to create the image of something that doesn’t exist. Prepare accordingly.
The Gordian Knot of Brexit is based on a Parliamentary ruling class within the U.K. government who will not accept Great Britain leaving the European Union.
The elitist Members of Parliament (MP) have passed a law requiring Prime Minister Boris Johnson to forever stay in the EU until an agreement for terms of exit are reached. However, the EU doesn’t want the U.K. to exit; so the consequence of the MP law is to ‘remain’ in the EU forever. This elitist scheme has created the knot; and the majority of the British people -those who voted to ‘leave’- are insufferably bound within it.
In one approach to cutting the knot Prime Minister Boris Johnson has requested a national vote for government leadership on October 15th. With a scheduled round of talks with the EU set for October 17th, a Boris Johnson election victory would create the needed momentum toward a hard-brexit (no deal) on October 31st. Britain would, finally, be free.
However, the MP ruling class, those who say they know better than the people they are supposed to serve, know such a popular vote would upend their schemes – and likely lead to many of their alliance being removed from office. So the elites will not support a national election that would lead to their own defeat. [More knot building].
A second knot-cutting tactic implied by the Prime Minister, is to ignore the insufferable law –recently passed and pending signature– and proceed toward a ‘no-deal’ Brexit on October 31st.
This approach could lead to the British Parliament being forced to vote against the Prime Minister (no confidence); and would set up a replacement election, which Boris Johnson wants anyway. Actually, no-one is quite sure what will happen on this second knot-cutting avenue… no map available.
Many Americans are watching the part where we see just how ideologically corrupt politicians are within British government; and how much they have lied and conned the British people.
Similar to the republican elitist class (Never Trump) who came out of the shadows against President Donald Trump, the never-Brexit British masks are dropping at an alarming rate. Trump supporters have a great deal in common with Brexiteers.
However, beyond the domestic politics…. there’s an economic geopolitical aspect only a few smart people (YOU) in the U.S. have been paying attention to. If you stand back and overlay what you know about the Trumpian global trade reset, there’s a familiar picture.
When it comes to the Trump global trade realignment, Prime Minister Boris Johnson is currently positioned to the EU as Japanese Prime Minister Shinzo Abe was to China.
In early 2017, culminating in November 2017 tour of Asia, President Trump worked with Japanese Prime Minister Shinzo Abe to start the process for southeast Asia countries to think about what could/would happen when the Trump administration triggered the trade reset with China.
In the two years that followed Trump’s visit, the ASEAN nations recognized what those 2017 discussions were all about. Japan (Abe), South Korea (Moon Jae-in), Malaysia (Mahathir Mohammed), Vietnam (Tran Dai Quang), Philippines (Rodrigo Duterte), and India via Narendra Modi, all realized the China strategy of President Trump was going to provide a significant economic opportunity to replace Chinese manufacturing in Asia.
In the background of the 2019 Brexit mess, Boris Johnson is similarly positioned to where Shinzo Abe was in 2017. If you take the trade reset strategy and replace China with the EU you can see a possibility for the future.
Economically both China and the EU have been receiving one-side benefits through the manipulation of the U.S. economy at the hands of the multinationals. Both have exfiltrated massive amounts of U.S. wealth; and both sets of Wall Street lobbying assemblies have paid corrupt U.S. politicians handsomely to continue this indulgence.
President Trump has already hinted at his goal regarding the EU and the trade reset. The administration objective is free, fair and reciprocal trade; meaning: no tariffs, no non-tariff barriers, no subsidies and no protectionism. However, the EU group is the most hypocritical and protectionist trade bloc in the world. [Yes, in many ways similar to China sans the overt theft and communist aspect.]
The EU has balked at any request to drop their protectionist policies, and the generational benefits of the post-WWII Marshal Plan will have to be pried from their cold dead fingers. The EU, with particular emphasis on France and Germany, are not about to allow the U.S. to take away the one-way tariffs they use to indulge their social welfare programs.
All of the indicators are there. Once the USMCA is booked (North America terms settled), we can see Trump taking a similar approach with the EU as he did with China.
With that in mind, Brexit becomes the leverage Trump needs to force the EU to accept terms. President Trump has been working with Boris Johnson on the framework of an agreement in principle for a U.S-U.K. trade agreement.
Here’s where it all comes together:
If Johnson delivers Brexit, soon thereafter President Trump announces matching tariffs against the EU equal to the tariffs they currently have on U.S. products. The EU will again balk at the idea of negotiating new trade terms. That’s where the U.K. (no longer in the EU) comes in.
North America and the U.K. would have a cross-Atlantic trade super-highway. EU countries who wish to avoid Trump’s tariffs would have the U.K as a gateway. EU nations can/will use the UK as an assembly and distribution hub for EU goods. This would mean massive benefit to the British economy.
The issue that impedes this plan is the current Gordian knot with Brexit.
Don’t be surprised to see the world’s premier Gordian Knot cutter, Donald J Trump, reverse the order of his plan in order to create leverage favorable to Boris Johnson.
Meaning, don’t be surprised to see significant U.S. announcements about tariffs against EU goods, which will have specific focus on French and German products, as President Trump starts applying leverage to support Brexit….
Keep watching.
I am thankful every day that we have a businessman in the White House who brilliantly understands how to leverage U.S. economic power to achieve national security objectives.
While remaining under the threat of punishing U.S. tariffs, Mexican President Andres Manuel Lopez-Obrador (aka AMLO) is strictly enforcing migrant blockades to stop the unlawful travel of Central American migrants to the U.S. border.
(Via AP) […] Foreign Secretary Marcelo Ebrard said he believes Mexico’s strategy of cracking down on illegal migration with a National Guard deployment, investment in Central America and allowing the U.S. to make more asylum seekers wait in Mexico is enough to avert President Donald Trump’s threat to impose tariffs on all Mexican imports.
Ebrard is scheduled to meet with U.S. officials Tuesday at the White House to review the progress.
Mexican President Andres Manuel López Obrador, a leftist who took office Dec. 1 promising better treatment of migrants, instead has embraced the fight against migrant smuggling.
In recent weeks, he has seldom mentioned the U.S. pressure and depicts the crackdown on migrants as a struggle to defend Mexican laws. His administration has taken a tough line against hundreds of African migrants waiting in the southern city of Tapachula for transit visas that Mexico no longer hands out.
“We will not budge,” he said after the Africans protested, “because the recent events in Tapachula aim to make Mexico yield and oblige us to give out certificates so migrants can get into the United States. We cannot do that. It isn’t our job.”
He said migrant caravans once tolerated by Mexico were the work of human traffickers, and effectively ended them.
“All of these people who traffic with migrants’ needs for jobs, safety and welfare, they are committing a crime and they will be punished,” López Obrador said last week. “We are already doing this in Mexico, without violating human rights. We are ensuring there isn’t anarchy, disorder.”
Migrant-rights activists say López Obrador is simply dressing up the fact that he yielded to Trump’s pressure tactics.
[…] Mexico has raided freight trains that migrants ride north, and pulled thousands off buses and out of the freight compartments of trucks. The government has warned bus and taxi drivers they could lose their permits if they transport migrants. (read more)
Hopefully, with continued strategic policy success, we will soon reach a point where American voters will only accept business leaders as presidential candidates.
…”Complicated business folks… Complicated business”….
The Bureau of Labor Statistics released the August Jobs Report showing 130,000 jobs added during the month. Year-over-year wage growth remains 3.2%, with a very strong three month wage growth showing gains of 4.2%.
Overall the top line growth of 130k jobs sounds modest; but jumpin’ ju-ju bones, the data underneath the top line is extremely strong and highlights exactly why wage rates have been rapidly increasing over the past three months. [Table A – BLS Report]
With a tight labor market we are seeing the natural upward pressure on wages. In the past four months wage rates have increased 4.2% [Table B-3], and from the employment data it appears those large wage incentives are bringing people back into the workforce.
Year-over-year the number of employed Americans has grown by 2,274,000 people.
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