Representative Jim Jordan delivers poignant remarks and introduces HPSCI Chairman Devin Nunes to receive the 2018 Keeper of the Flame Award.

…When you plant your trees in another man’s orchard, don’t be surprised when you pay for your own apples…

President Trump has instructed U.S. Trade Representative Robert Lighthizer to execute Round Two of tariffs on Chinese imports. The first round applied to $50 billion in products. The current round applies a 10% tariff to $200 billion (effective Sept. 24, 2018), until January 1st, 2019, when the tariff increases to 25%.

The list of products is particularly focused, and happily we note it includes almost all Chinese processed food imports.

Chinese food processing is sketchy, and China has refused to comply with most international food safety programs. However, President Trump spared smart watches from Apple and Fitbit and other consumer products such as bicycle helmets and baby car seats.

In a statement announcing the Round-Two tariffs, President Trump warned China if they take retaliatory action against U.S. farmers or industries, “we will immediately pursue phase three, which is tariffs on approximately $267 billion of additional imports.”  That would hit Apple and all consumer good imports. Here’s the announcement and the list of products:

Washington, DC – As part of the United States’ continuing response to China’s theft of American intellectual property and forced transfer of American technology, the Office of the United States Trade Representative (USTR) today released a list of approximately $200 billion worth of Chinese imports that will be subject to additional tariffs.

In accordance with the direction of President Trump, the additional tariffs will be effective starting September 24, 2018, and initially will be in the amount of 10 percent. Starting January 1, 2019, the level of the additional tariffs will increase to 25 percent.

The list contains 5,745 full or partial lines of the original 6,031 tariff lines that were on a proposed list of Chinese imports announced on July 10, 2018.

[…] In March 2018, USTR released the findings of its exhaustive Section 301 investigation that found China’s acts, policies and practices related to technology transfer, intellectual property and innovation are unreasonable and discriminatory and burden or restrict U.S. commerce.

Specifically, the Section 301 investigation revealed:

• China uses joint venture requirements, foreign investment restrictions, and administrative review and licensing processes to require or pressure technology transfer from U.S. companies.
• China deprives U.S. companies of the ability to set market-based terms in licensing and other technology-related negotiations.
• China directs and unfairly facilitates the systematic investment in, and acquisition of, U.S. companies and assets to generate large-scale technology transfer.
• China conducts and supports cyber intrusions into U.S. commercial computer networks to gain unauthorized access to commercially valuable business information.

After separate notice and comment proceedings, in June and August USTR released two lists of Chinese imports, with a combined annual trade value of approximately $50 billion, with the goal of obtaining the elimination of China’s harmful acts, policies and practices.

Unfortunately, China has been unwilling to change its policies involving the unfair acquisition of U.S. technology and intellectual property. Instead, China responded to the United States’ tariff action by taking further steps to harm U.S. workers and businesses. In these circumstances, the President has directed the U.S. Trade Representative to increase the level of trade covered by the additional duties in order to obtain elimination of China’s unfair policies. The Administration will continue to encourage China to allow for fair trade with the United States.

A formal notice of the $200 billion tariff action will be published shortly in the Federal Register.  (read more)

A pdf list of the Round #2 impacted products is Available HERE.

Earlier today President Trump hosted a meeting with the key administration officials executing the workforce initiatives programs.  The programs include expanded vocational training, private-public partnerships for education, and expanded investment in skills training for a modern American workforce.

The National Council for the American Worker is the executive agency tasked with execution of the policies and working with various state and local officials to help increase the skills training for U.S. workers.  With a MAGAnomic expanding economy; and with all of the subsequent jobs growth; and with a revitalization of U.S. manufacturing; the workforce initiatives are keys to sustaining successful growth for American workers.

Following opening remarks during a jobs and workforce initiatives meeting: White House National Council for the American Worker [full video of that meeting coming later], President Trump made some announcements on trade, and answered some questions from the media.

The questions surrounding Supreme Court nominee Brett Kavanaugh begin at 05:25:

White House National Economic Council Chairman Larry Kudlow was the keynote speaker today at the New York Economic Club.  Mr. Kudlow delivered a speech on the basics of the MAGAnomic agenda and results so far.

The entire event, including speech and Q&A, is slightly more than an hour long.  Here’s an excerpt, the entire event is available below:

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Full event with Kudlow below.

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A year ago it seemed almost impossible to see a trade agreement with Mexico that would facilitate the interests of both countries. However, with the successful election of Mexican President Andrés Manuel López Obrador (AMLO), a remarkable populist shift dramatically changed the landscape within the Mexican economic outlook and policy.

President Trump’s tweet today hints toward a much bigger picture we have recently been discussing.  Against the likelihood Canada will not join the U.S-Mexico trade agreement. The Mexican government is affirming their intent to go forward with a bilateral trade deal if needed because the U.S-Mexico joint agreement is in their best interests.  According to Mexico’s Chief Negotiator, Kenneth Smith-Ramos:

“We hope the U.S. and Canada will conclude their bilateral negotiation shortly. If that is not possible we are ready to advance bilaterally with the U.S … the agreement in principle that we closed with the U.S. is positive for Mexico because it preserves free trade and modernizes our trade agreement …”

Outgoing Mexican President Peña Nieto, structured his economic policy around accepting multinational corporate investment, facilitating the requests of Wall Street investment banks, and the predictable parasitic outcomes that follow. Exfiltration of wealth and exploitation of resources/labor are an outcropping of predatory multinational trade exploitation, ie. “globalism”.

Retention of the multinational schemes generally leads to massive corruption. In the U.S. this corruption is known as “lobbying”, in Mexico the process is called ‘bribery’; however, the activity is the same.

The incoming Mexican President, Lopez-Obrador (AMLO), is more of an economic nationalist; and quite remarkably his economic outlook, at least as his team has described the objectives so far, is quite Trumpian.

You might even say: “Make Mexico Great Again”.

Both U.S. President Trump and Mexican President-elect AMLO have similar outlooks toward predatory multinational corporations and economic exploitation. If you think about how Mexico was used by the multinationals in the past twenty years; and then think about a very real possibility of a U.S President and Mexican President having an economic friendship; well,… holy cats, those multinationals could be remarkably nervous right now.

AMLO supports labor and has an actual agenda to create a strong working-class or middle-class.  The wealth disparity within Mexico has always been a foundational issue that has led to a tremendous amount of corruption.

Similarly, President Trump supports labor.  Likely because of his positive relationships with labor unions as a private sector builder, Trump was the only republican candidate who advanced pragmatic opinion toward organized labor in 2015, 2016 and, as president, in White House meetings where he invited labor officials.  President Trump’s economic agenda is laser focused on a strong middle-class.

AMLO views Wall Street multinationals as predatory by disposition; Mexico has suffered from industrial exploitation, especially in the agriculture sector.  President Trump also views those same multinationals as tending toward predatory behavior, and he has targeted many specific corporations for attention due to their participation in the erosion of the American middle-class and the U.S. manufacturing base.

AMLO is a strong Mexican Nationalist. President Trump is a strong American Nationalist. Within almost all of President Trump’s foreign policy speeches on economics, he openly accepts that all nations should make decisions based on their individual and nationalistic needs.  Trump does not see economic nationalism as adversarial; he points out that trade agreements based on both interests are entirely possible, and actually easy to construct.

As long as AMLO stays away from the authoritarian tendencies of power, ie. government ownership of private industry – and the slippery slope of soft-Marxism, surprisingly he and President Trump are likely to have a great deal more in common than most would think. Both populists; both nationalists; both rebuke the elitist trappings of globalism and intend on executing economic policies for the majority of their citizens.

Because they have more in common on the economics of policy, this explains why the framework of the U.S-Mexico trade agreement between Robert Lighthizer (representing Trump) and Jesus Seade (representing AMLO) was possible to construct.

Lighthizer and Seade held long meetings after formal U.S-Mexico daily negotiations, and together this relationship appears to have been very important in how the deal framework was structured. Right now both teams are filling in the details based on common objectives.

With AMLO and President Trump, Mexico and the U.S. have joint-interests in an economic trade bloc. It is actually quite stunning when you think about the economic power that both nations can hold if their mutual and individual interests remain at the forefront.

President Trump and President Lopez-Obrador have common objectives; and with the economic approach outlined by AMLO toward using Mexico’s energy resources as leverage for expanded investment, the U.S. is well positioned to help.  Mexico needs independent collateral to break the cycle of dependency on overseas money (investment).  Mexico needs policies and partners that can make Mexico, and the Mexican people, independently wealthy.   Guess who the bestest partner would be?  Yup, President Trump.

President Trump is well positioned to assist Mexico via a united trade bloc with expanded cross-border investment for economic development.

AMLO wants a higher standard of living for Mexican workers; President Trump wants greater parity between Mexican workers and their U.S. counterparts. Heck, it was U.S. Commerce Secretary Wilbur Ross and USTR Robert Lighthizer who first proposed raising the Mexican minimum wage. Now both countries have agreed to an incremental Mexican minimum wage aspect of $16/hr within the auto sector.

Combining the wage aspect with the content and origination agreement, this has become a win/win for both AMLO and President Trump. The multinationals within the auto-sector might not like it, but they’ve already put a massive amount of money into plant and manufacturing investment in their existing Mexican footprint. They have no choice.

In an generally overlooked outcome the nationalist interests of Mexico, specific to AMLO, are very close to alignment with the nationalist MAGA agenda of President Trump.

Unfortunately, Canada is the ‘globalist’ oddball in this tri-fecta; which makes a trilateral deal almost impossible, and explains why Mexico is so willing to sign a bilateral agreement.   The U.S. economy is expanding at an unprecedented rate, and Mexico prepares to surf the MAGAnomic tsunami known as Donald Trump.

President Trump can see that independent economic future for Mexico based on a partnership that protects the interests of both nations.  It certainly appears that AMLO can see the same vision.

Remarkable times.

Bloomberg reported earlier today that President Trump was likely to pull the trigger on round #2 of tariffs against $200 billion in Chinese imported goods. Duh. Surprise fail. President Trump has not bluffed on a single tariff initiative since he started executing new U.S. trade policies to reset all trade relationships.

According to Jennifer Jacobs reporting (one of the few reliable) Secretary Ross, Secretary Mnuchin and Ambassador Lighthizer met Thursday to review the current status of ongoing trade deals. This is a good nugget, because it’s likely that same meeting contained the forward instructions toward Lighthizer for the Canada discussions.

According to the report, President Trump, Ross and Lighthizer are adjusting the specifics of the $200 billion Chinese products targeted based on the two-weeks of domestic feedback they received. I would actually anticipate a combination of increased tariffs on the Round #1 sector (25% on $50 billion), and the application of new sectors within the $200 billion Round #2 target.

• Reuters Article Here
• Bloomberg Article Here
• USTR Prior Notification Here

The MAGAnomic Tri-fecta: Jobs growing; wages growing; inflation stable.

When President Trump and Commerce Secretary Wilbur Ross announced tariffs on Steel and Aluminum, in combination with Round #1 tariffs on imported Chinese products, the Wall Street financial media went bananas with dire predictions of inflation.

Today the Bureau of Labor and Statistics (BLS) released the August measure of inflation in consumer goods.  Despite the doom-and-gloom predictions from the self-interested multinationals, the inflation rate is a low 0.2% the same result as July. Core inflation, which excludes volatile energy and food components, increased 0.1%.

As John Carney notes:

[…]  “Compared with a year ago, prices were up 2.7 percent, lower than the 2.9 percent gain in July and June. Core inflation was up 2.2 percent from a year earlier, down from 2.4 percent in July. This means the pace of inflation has slowed.”

The lower than expected rise in consumer prices was foreshadowed by the Labor Department’s report on producer prices and the Federal Reserve’s Beige Book Wednesday. Taken together, the reports indicate that fears that trade disputes and rising tariffs overstated.  (more)

Supplemental to this low inflation index, the US weekly jobless claims dropped to near 49-year low.  As CNBC was forced to admit: “The number of Americans filing for unemployment benefits unexpectedly fell last week.”

(CNBC) […] Initial claims for state unemployment benefits slipped 1,000 to a seasonally adjusted 204,000 for the week ended Sept. 8, the lowest level since December 1969, the Labor Department said on Thursday. Data for the prior week was revised to show 2,000 more applications received than previously reported.

Economists polled by Reuters had forecast claims rising to 210,000 in the latest week. The claims data covered last Monday’s Labor Day holiday. Claims tend to be volatile around public holidays.

The four-week moving average of initial claims, considered a better measure of labor market trends as it irons out week-to-week volatility, fell 2,000 last week to 208,000, also the lowest level since December 1969. (read more)

View image on Twitter

Secretary Acosta

✔ @SecretaryAcosta

Initial jobless claims continue to be the lowest since December 1969, showing the continued strength of the @POTUS economy.

10:09 AM – Sep 13, 2018

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Additionally, nonfarm payrolls increased by 201,000 jobs in August and annual wage growth notching its biggest gain in more than nine years.  Job openings hit an all-time high of 6.9 million in July.

Low inflation; expanding employment opportunity; low unemployment; and rising wages.

These measures all have a cumulative impact on paycheck-to-paycheck Americans.  Prices for durable goods are stable and wage growth is exceeding inflation.  That means more disposable income in the middle-class…. which, when combined with the increased pay from lower middle-class tax rates, is exactly the intended outcome of MAGAnomics.

This creates a situation where the U.S. consumer can fuel the the U.S. economy while President Trump, Secretary Ross, Secretary Mnuchin and Ambassador Robert Lighthizer utilize the leverage of tariffs, to negotiate better America-First trade deals.

President Trump’s economic policy cabinet is the most effective group of individuals every assembled in modern U.S. history; arguably in all of U.S. history.   The economic policy plans are working exactly as projected; and, in combination with the domestic economic strength, this empowers President Trump’s international engagements with a stunning amount of influence and leverage.

Economic Security is National Security.  We are seeing this multidimensional truth being carried out for the first time in our lifetimes, thanks to a blue-collar billionaire.

Part of the push-back against President Trump is due to the success within this doctrine for domestic and international success.  Politicians and the political apparatus of the administrative state are apoplectic that a long-held economic curtain has been dropped by President Trump and his policy team.

It is this easy.

It is common sense.

We have not had the benefit of this economic success in the past 40 years because corrupt multinational interests were paying and bribing -via lobbyists- politicians and public officials within the administrative state to block independent U.S. wealth.

Wilburine, keeping it simple!

President Trump delivers remarks at a celebration to honor a reception for Congressional Medal of Honor recipients. In addition to remarks for the audience, President Trump also mentions the preparation and concern for those in the path of Hurricane Florence.

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[Transcript] East Room – 5:59 P.M. EDT – THE PRESIDENT: Thank you very much, everybody. Please, please. A lot of very brave people in this room. I have to start off by saying that. And I’m truly thrilled to welcome back all of you folks to the White House. Thirty-three recipients — our nations highest military award: the Congressional Medal of Honor.

You know, now they say the Medal of Honor — am I wrong in saying? — that it just sounds better when you say the “Congressional Medal of Honor.” Somehow it’s just a very special — a very special thing, a very special group of people.

Nearly half of the nations 72 living recipients are here with us tonight. So you have 72 total recipients living, and we have half tonight. And I feel I know you. Most of you I’ve met — right? — more than once.

Each of you went above and beyond the call of duty. Each of you risked life and limb, without a thought for your own safety. Each of you has made a lasting mark upon the history of our great nation.

The Congressional Medal of Honor is the supreme symbol of American courage. It is the ultimate tribute to American valor. You are the strongest, the bravest, and the finest among us. See? My ego is not that big. (Laughter.) I admit. I admit it. Okay? Right, General? (Applause.) I admit it. True. And we thank God that you were there in Americas hour of need.

We will all honor Medal of Honor winners and recipients, and we’ll always do that. And to be here tonight with you is very, very special. I want to thank you all for coming to the White House. We have some tremendous people that are paying great respect to you in this room, other than our Medal of Honor winners. We have some tremendous people, highly respected. And they all wanted to be here.

So I’d like to ask, if I might, for the winners of the Congressional Medal of Honor to please stand. Thank you. (Applause.)

Thank you very much. It’s really something.

Before continuing, I’d like to provide an update on our preparations for the incoming hurricanes. We have some really big situation confronting us. It’s coming in fairly fast. And it’s going to be one of the biggest to ever hit the East Coast, one of the biggest ever to hit our country. Maybe something will happen, but it’s looking that like that probably won’t be taking place, unfortunately — meaning veering away from land.

My administration is in close coordination with state and local authorities. And FEMA — these are tremendous people, also, as you know — has already placed extensive resources on the ground, including search and rescue experts, power restoration, and medical support. Tremendous people working on the hurricane — first responders, law enforcement, and FEMA. And they’re all ready, and we’re getting tremendous accolades from politicians and the people. We are ready. But this is going to be one of the biggest ones to ever hit our country.

Residents in the path of these devastating storms should comply with all evacuation orders and other emergency instructions. Protection of life is the absolute highest priority. And that’s what we’re doing. It’s called protection of life. So God bless everybody, and be careful. Thank you. (Applause.) Thank you.

For tonights Medal of Honor Reception, we’re also joined by members of my Cabinet: Secretary Steve Mnuchin. Steve, where are you, Steve? I don’t know if you’d ever win this award, Steve. (Laughter.) That’s a tough award. In a different way, right? In a different way. Doing a great job. Thank you. Ryan Zinke. Ryan? Thank you very much. Sonny Perdue. Sonny? Thank you. Thank you. Thank you, Sonny. Alex Acosta. Alex? Thank you. Thank you, Alex. Ben Carson. Thank you, Ben. Thank you. Elaine Chao. How’s Transportation doing? Good? I think so. Robert Wilkie. Doing a great job — for the VA. We’re doing a great job. We have Choice and we have Accountability — things that nobody ever thought you’d see. They worked 46, 47 years on trying to get Veterans Choice. And we now have Veterans Choice and we have Accountability. If they dont do the job, boom, you’re fired. (Laughter and applause.) We want that for our veterans, right? Right?

And a man who’s really doing a fantastic job, Acting Administrator Andrew Wheeler. Thank you. Thank you, Andrew. Thank you, Andrew. (Applause.) Appreciate it.

We’re grateful to the distinguished military leaders in attendance, including Secretary of the Navy Richard Spencer. Thank you. Thank you. Thank you. (Applause.) Thank you, Richard. Secretary of the Air Force Heather Wilson. (Applause.) Thank you. Thank you, Heather. And Vice Chairman of the Joint Chiefs of Staff, General Paul Selva. Thank you, Paul. Thank you very much. (Applause.)

And one of my favorite members of the Joint Chief. Stand up you two. What a job. Two of you. Come one. (Applause.) Stand up. Right? Great. Thank you both. Thank you. Thank you. Thank you, Paul.

I also want to thank Representative Mo Brooks for joining us tonight. Great gentleman — wherever you are, Mo. Thank you, Mo. And a very special thank-you to the members of the Congressional Medal of Honor Society.

Tonight we’re privileged to be in the company of Americas greatest heroes. Joining us this evening are three extraordinary Americans who I had the privilege of presenting the Medal of Honor to: Jim McCloughan, Mike Rose, and Brit Slabinski.

Please stand up. Please. (Applause.) Please. Thank you. Thank you, fellas. Proud of you.

We also are very proud to have among us a Marine who served in World War II and who fought heroically at Iwo Jima. In just a few weeks, he will celebrate his 95th birthday. He’s a friend of mine. I’ve gotten to know him. Woody Williams. Woody. (Applause.) Ninety-five. You look good, Woody. You look good.

Another friend of mine, General John Kelly and his incredible wife Karen. They’re here someplace. (Applause.) John? Stand up, John. Stand up, Karen. (Applause.) Two great people. Two great people.

I also want to say a word of warmth and love to the spouses and the loved ones here tonight. We know that the courage of our warriors is sustained by that great love and support and sacrifice of our military families. Without those great families, it would never be the same. And we all understand that. All of the recipients understand that, I know. So thank you all for being here, and thank you for your tremendous support. Thank you. (Applause.)

The Congressional Medal of Honor recipients here with us tonight come with and from cities and towns all across our nation, and they fought for America in fields of battle all across the world.

In Vietnam, Bruce Crandall flew a helicopter, full speed ahead, straight into enemy fire — and it was a lot of fire, from what I understand, Bruce — not once, not twice, but 22 times. Bruce, you can have that job, okay? (Laughter.) Where’s Bruce? Bruce. Thank you, Bruce. (Applause.) Twenty-two times. Ben Carson — better him than us, right? Huh? (Laughter.)

In Korea, Hiroshi Miyamura singlehandedly battled an overwhelming number of enemy fighters without reinforcements. They didn’t come. They weren’t there. He treated the wounded and kept on fighting while enduring severe wounds of his own. Where is he? Where is he? Please. (Applause.)

In Afghanistan, Ed Byers rescued a hostage from terrorists, tackled a guard in hand-to-hand combat, and shielded the hostage from enemy rounds.

Every single recipient here this evening has acted with heroism beyond description, and courage beyond measure. Tremendous courage.

You inspire dread in our enemies, awe in our friends, and universal admiration among freedom-loving people all around the world. They respect you so much — more than you would even know.

I know that tonight you are also thinking of your fellow warriors who didnt come home. Many, many warriors did not come home. We forever remember and eternally honor Americas fallen heroes.

The warriors with us today continue to give of themselves long after leaving active service.

One of them is Sammy Davis. I know Sammy Davis, but it’s a different Sammy Davis. (Laughter.) Good name. Where’s Sammy? Sammy. Sammy. (Applause.) Sammy. Now I know two of you. Thank you, Sammy.

MR. DAVIS: (Inaudible.)

THE PRESIDENT: That’s — (laughter) — that’s true, actually, isn’t it? (Laughter.)

Who earned the Congressional Medal of Honor for his heroic actions in Vietnam. Sammy teaches young people about the importance of patriotism. And just a few months ago, he received the State of Indianas most prestigious award for his life of service. Sammy, that’s fantastic. Thank you very much. Thank you. (Applause.)

Also with us is Ronald Rosser, who fought in Korea, and then became a police chief, a construction foreman, and a history teacher.

A veteran of Operation Enduring Freedom, Leroy Petry has since devoted his life to supporting our wonderful veterans. Thank you very much. We have many people that are doing that.

We’re loving our veterans, I think, honestly, more than ever before. We respect them so much. There’s a whole different spirit over our country. We respect our veterans more than we’ve ever respected our veterans. So important. We’re working so hard on that, and we’re doing the job.

These are just a few of the incredible stories represented in this room today.

Before I conclude, I would like to ask the President of the Congressional Medal of Honor Society to come up and say a few words — a friend of mine, and we’ve met a number of times. And he’s a good man, and a little bit of a character, and that’s okay. I suspect you’re all characters. (Laughter.) Please come up, Recipient Drew Dix. (Applause.)

RET. MAJOR DIX: Thank you, President Trump for two things. One is honoring us with this invitation to the White House. You know, January next year, it’s been 50 years since I was in the East Room. And I don’t remember much about that. It was much of a fog in my mind because of the circumstances. But I want to tell you that, on behalf of the 32 other recipients here, we are very honored to be here.

But that honor pales in comparison to the honor that we have, and the responsibility that we share, for representing all of our veterans and service members that performed deeds far greater than ours. But witnesses just aren’t available.

And for that, I want to say that we carry that around the country. We do what we can to spread the character and the examples of recipients to our youth. And we’re just starting a new program on our outreach, and we help to coordinate efforts between — all the efforts — to coordinate the efforts against — preventing the suicides. It’s a tremendous problem in our country. So the Society has taken this on.

And I can’t think of a better way to start a convention as right here from the White House and going over to Annapolis. So if we’re all about — (applause) — and if we’re all about tradition, tradition starts here. And for the Navy folks, we’re really proud to spend a week with the midshipmen over there.

And thank you, sir, for all you do.

THE PRESIDENT: Great honor. Thank you, Drew, very much. Thank you. (Applause.) Thank you, Drew.

The heroes in this room embody the highest ideals of our nation. Your actions demonstrate the unmatched nobility and dignity of the American warrior. And that’s what you are. You’re warriors. Great warriors.

You inspire in each of us the greatest sense of patriotism, and purpose, and pride. We pledge to honor your service by supporting. And when I say “support,” I mean always supporting the incredible men and women of the United States military.

We will always remain faithful to the heroes of the American Armed Forces. We will forever remain loyal to our beloved veterans. And we will always defend our country, our Constitution, our values, our families, our freedom, our people. And we will always defend our great American flag.

Thank you. God bless you. And God bless America. Thank you. Thank you. (Applause.)

END 6:17 P.M. EDT