Tag Archives: US Treasury

Jan 19 2026

Sunday Talks – Treasury Secretary Scott Bessent -vs- NBC Kristen Welker, Topics: Greenland and The FED


Posted originally on CTH on January 18, 2026 | Sundance

Treasury Secretary Scott Bessent appears on NBC to discuss the national security issues surrounding Greenland and the Trump administration’s face off against Europe and NATO. Additionally, Welker wants to protect Fed Chairman Jerome Powell against mounting evidence of his political bias and mismanagement of the Federal Reserve. Video and Transcript Below.

[Transcript] – KRISTEN WELKER:

Joining me now is Treasury Secretary Scott Bessent. Secretary Bessent, welcome back to Meet the Press.

SEC. SCOTT BESSENT:

Good morning, Kristen. Good to be with you.

KRISTEN WELKER:

It’s great to have you here, thank you for being here in person. Let’s start right there. President Trump threatening to impose steep tariffs against some of America’s closest European and NATO allies. The leaders of Denmark and Greenland say bluntly, “Greenland is not for sale.” What makes President Trump think it is?

SEC. SCOTT BESSENT:

Kristen, if we look for years, for over a century, American presidents have wanted to acquire Greenland. And what we can see is that Greenland is essential to the U.S. national security — we’re building the golden dome, the missile system. And look, President Trump is being strategic. He is looking beyond this year. He’s looking beyond next year to what could happen for a battle in the Arctic. We are not going to outsource our national security. We are not going to outsource our hemispheric security to other countries. In Trump 1.0, President Trump told the Europeans, “Do not build Nord Stream 2. Do not rely on Russian oil.” And guess what, Kristen? Guess what is funding Russia’s efforts against Ukraine? European purchases of Russian oil. So America has to be in control here.

KRISTEN WELKER:

I want to delve into everything that you said. But I just want to ask you big picture: Is this a negotiating tactic, Mr. Secretary? Or is President Trump serious about annexing Greenland?

SEC. SCOTT BESSENT:

President Trump strongly believes that we cannot outsource our security. Because, Kristen, let me tell you what will happen, and it might not be next year, might not be in five years. But down the road, this fight for the Arctic is real. We would keep our NATO guarantees. And if there were an attack on Greenland from Russia, from some other area, we would get dragged in. So better now, peace through strength, make it part of the United States, and there will not be a conflict because the United States right now, we are the hottest country in the world. We are the strongest country in the world. Europeans project weakness. U.S. projects strength.

KRISTEN WELKER:

But just very quickly, is this a negotiating tactic, Mr. Secretary? Is the goal to get a deal to have enhanced security in Greenland, for example?

SEC. SCOTT BESSENT:

The president believes that enhanced security is not possible without Greenland being part of the U.S.

KRISTEN WELKER:

Okay. Let me press you on what you have said are national security concerns, particularly as it relates to Russia and China. Senior Democrats say there are no pressing threats on Greenland’s security from Russia or China. The Danish foreign minister says there hasn’t been a Chinese warship in Greenland for a decade. What evidence do you have that this is a pressing threat?

SEC. SCOTT BESSENT:

Well, first of all, Kristen, we have asymmetric information. And again, President Trump is being strategic here. What evidence was there that the Russians were going into Crimea? Well, actually there was a lot of evidence that the Russians were going to go into Ukraine. And Joe Biden said, “Well, just take a little bit of it.” But what we know is that the U.S., that Greenland can only be defended it if is part of the U.S. And it will not need to be defended if it is part of the U.S. The president is trying to avoid a conflict.

KRISTEN WELKER:

You bring up Crimea. The president, as far as I have heard, has not taken military force off the table. If the United States were to take Greenland by force, how would that be different than Russia’s annexation of Crimea?

SEC. SCOTT BESSENT:

Look, I believe that Europeans will understand that this is best for Greenland, best for Europe, and best for the United States.

KRISTEN WELKER:

But military action is still on the table?

SEC. SCOTT BESSENT:

I haven’t spoken with the president on that. And again, I believe that the Europeans will understand that the best outcome is for the U.S. to maintain or to receive control of Greenland.

KRISTEN WELKER:

Well, so far what we’ve heard and seen from the Europeans is alarm and outrage. In fact they’re, as you know, holding an emergency meeting today. And part of the issue, the president has already reached a trade deal with the EU. How can countries have confidence in trade deals moving forward if President Trump is prepared to blow them up?

SEC. SCOTT BESSENT:

Well, first of all, the trade deal hasn’t been finalized. And an emergency action can be very different from another trade deal. So we’re in a very good equilibrium right now with China. But if China did something to upset that balance, I think the president would be willing to act. You know, same thing with India. We were working on a trade deal with India. But the president, unlike the Europeans, started charging the Europeans 25% for buying Russian oil. So the president leverages his emergency powers to do this.

KRISTEN WELKER:

I hear you saying that the deal hasn’t been finalized. And yet it was moving towards finalization. Doesn’t it undercut the United States’ word by threatening these steep new tariffs?

SEC. SCOTT BESSENT:

I think it does not. What it does is it enhances United States security. And again, we have seen that Europeans are unable to push back against Russia. The U.S. — this war that never would have started in Ukraine, Kristen, we are going to settle it. But it wouldn’t have started. And what President Trump is trying to do is prevent a taking or the Russian, Chinese action in Greenland in the future. So why not be strategic? Why? Always live in the moment.

KRISTEN WELKER:

Okay, let’s talk about being strategic. The United States has a base in Greenland. I’ve been talking to lawmakers on Capitol Hill. Denmark has given the United States a green light to beef up its security as much as is needed in Greenland. Why not take that route? Why is it necessary to take over and annex all of Greenland, something that 85% of people living in Greenland oppose?

SEC. SCOTT BESSENT:

Well, again let’s look back. Denmark has a terrible history with Greenlanders. There were forced sterilizations up until the ‘80s or the ‘90s. So all of a sudden, now that the U.S. has expressed an interest, there is, you know, this new interest. And again, the United States needs to be in control to prevent a war. And we do not want to get dragged into someone else’s war.

KRISTEN WELKER:

Well, but this is about the United States relationship with its allies, NATO allies, again reacting with alarm. They are warning that this move to annex Greenland could in fact destroy NATO. So let me just put this to you bluntly. Is Greenland or NATO more essential to the United States national security?

SEC. SCOTT BESSENT:

Both. Kristen, that’s obviously a false choice. You know, that’s an absolute —

KRISTEN WELKER:

Not from the perspective of European leaders.

SEC. SCOTT BESSENT:

The European leaders will come around. And they will understand that they need to be under the U.S. security umbrella. What would happen in Ukraine if the U.S. pulled its support out? The whole thing would collapse. The U.S., Kristen, to be clear, since 1980 the U.S. military spending versus NATO military spending, we have spent $22 trillion more than the Europeans have, that we are peace through strength, and the Europeans now are only trying to play catch-up. And that is only through President Trump. President Trump believes in NATO. But he does not believe in the American people being dragged in.

KRISTEN WELKER:

Well, in terms of the cost that has been paid, Denmark has stood shoulder-to-shoulder with the United States including after 9/11. In fact, it lost more soldiers per capita in Afghanistan than any other NATO nation apart from the United States itself, Mr. Secretary. Does President Trump want the United States to remain a part of NATO?

SEC. SCOTT BESSENT:

Of course, we are going to remain a part of NATO. But what President Trump does not want is for a war to start and the U.S. gets dragged in. Again, we are not going to outsource our Western Hemisphere security to others.

KRISTEN WELKER:

Let me ask you, broadly speaking, about the tariff portion of this. The president, as you well know, has justified his authority to impose previous tariffs without going to Congress by declaring national emergencies. It’s an issue before the Supreme Court right now. We’re all awaiting the high court’s decision. What is the national emergency that justifies these new slate of tariffs?

SEC. SCOTT BESSENT:

The national emergency is avoiding a national emergency. It is a strategic decision by the president. This is a geopolitical decision. And he is able to use the economic might of the U.S. to avoid a hot war. So why wouldn’t we do that? You know, same thing that what if we had a national emergency coming with these gigantic trade balances that we had with the rest of the world — I’ve been in financial markets for 30, 45 years — much better to be strategic, avoid the emergency.

KRISTEN WELKER:

You’re saying it’s a national emergency. But you’re also saying it’s a threat. It’s years away. How can both be true, Mr. Secretary?

SEC. SCOTT BESSENT:

Because you are avoiding creating the emergency, Kristen. What if during the great financial crisis, someone had raised their hand in 2005, 2006 and said, “Stop the sub-prime mortgages?” But no one did. President Trump is raising his hand. And that is preventing the emergency.

KRISTEN WELKER:

Do you think the Supreme Court will agree with that rationale, Mr. Secretary?

SEC. SCOTT BESSENT:

I believe that it is very unlikely that the Supreme Court will overrule a president’s signature economic policy. They did not overrule Obamacare. I believe that the Supreme Court does not want to create chaos. As you said earlier, we have set these trade deals. And it is very good for the United States if we are balancing our trade deficit. If you look, Europe is being overrun with Chinese goods. There is now an emergency in Europe. There is going to be an economic emergency. The Europeans will follow us. So President Trump is pre-empting this if we go back to emergencies, he put a fentanyl tariff, Mexico, Canada, China. Guess what’s happened to fentanyl deaths? If that’s an emergency, I don’t know what is. October 8th, when the Chinese threatened to put rare Earth export controls on the entire world, President Trump threatened 100% tariff. And the Chinese came to the table. And we negotiated on behalf of the whole world.

KRISTEN WELKER:

All right. Let me move to the Federal Reserve. I want to ask you about the revelations this week that the Department of Justice is investigating Jerome Powell and the Fed for allegedly going over budget in the Fed building renovations. Chairman Powell responded. He fired back at this. I want to play a little bit and get your reaction on the other side.

[BEGIN TAPE]

JEROME POWELL:

This is about whether the Fed will be able to continue to set interest rates based on evidence and economic conditions, or whether instead monetary policy will be directed by political pressure or intimidation.

[END TAPE]

KRISTEN WELKER:

Is President Trump committed to the independence of the Federal Reserve, Mr. Secretary?

SEC. SCOTT BESSENT:

Of course, he’s committed to the independence of the Federal Reserve. But independence does not mean no oversight.

KRISTEN WELKER:

But doesn’t this undercut the independence of the Federal Reserve if the Justice Department is investigating renovations? There are renovations at the White House.

SEC. SCOTT BESSENT:

The renovations at the White House are not $700 million, more than $1 billion or $1.5 billion over budget, Kristen. And the White House, that is being paid for with private funds. If I want to buy a new chair for my office at Treasury, that is an appropriation. Just to understand, the Federal Reserve has magic money. They print their own money. So when you have no oversight, why not have a little sunlight? Kristen, I have called since last summer for the Fed to do its own internal investigation. And that has not been heeded, not been heeded. And again, I don’t know about you. If I were to receive inquiries from the Justice Department, I would answer them. They went unanswered.

KRISTEN WELKER:

Well, let me ask you because Axios reported that you were not happy about DOJ’s investigation, that you told President Trump as much. Axios writes, “a perturbed Treasury Secretary Scott Bessent told President Trump late Sunday that the federal investigation into the Federal Reserve Chair made a mess and could be bad for financial markets.” That’s according to two sources familiar with the call. Is that accurate?

SEC. SCOTT BESSENT:

You know what, Kristen? I’m not going to discuss my conversations with the president. But if I said that, I was wrong. Financial markets, stock market went up, bond yields went down. So the markets are the ultimate arbiter of over whether the Fed’s independence is being impugned. And bond yields went down. I can tell you we had two of the best bond auctions that we have had in months for U.S. treasuries. So the market is looking beyond this. And again, maybe the market wants some transparency from the Fed.

KRISTEN WELKER:

One final question for you, Mr. Secretary. Some Republican senators, as you know, are threatening to block the president’s nominees over the Justice Department’s investigation. Do you think the investigation needs to be dropped in order for the Senate to confirm the president’s next pick to run the Fed?

SEC. SCOTT BESSENT:

I think that that will be up to the senators. I think —

KRISTEN WELKER:

But are you worried that they’ll block the president’s pick for the Fed?

SEC. SCOTT BESSENT:

I am not. I think we have four great candidates. I think that they will be quite happy with either of the four. I think we will move forward. I believe that we will probably be hearing from the banking committee soon on what they would like to see. And again, the supervision and bringing in some sunlight does not mean coercion.

KRISTEN WELKER:

All right. Thank you so much, Secretary Bessent, for being here to respond to all of the breaking

[End Transcript]

Jan 18 2026

President Trump Announces New Tariffs Against “EU Leadership” Nations Attempting to Interfere in North American Strategic Defense and Greenland Negotiations


Posted originally on CTH on January 17, 2026 | Sundance

President Trump has announced a new tariff regime against Germany, the UK, Germany, France, Sweden, Norway, Denmark, The Netherlands and Finland. The two-stage tariffs are in response to European leadership undermining U.S. strategic security discussions with Greenland.

PRESIDENT TRUMP – “We have subsidized Denmark, and all of the Countries of the European Union, and others, for many years by not charging them Tariffs, or any other forms of remuneration. Now, after Centuries, it is time for Denmark to give back — World Peace is at stake! China and Russia want Greenland, and there is not a thing that Denmark can do about it. They currently have two dogsleds as protection, one added recently.

Only the United States of America, under PRESIDENT DONALD J. TRUMP, can play in this game, and very successfully, at that! Nobody will touch this sacred piece of Land, especially since the National Security of the United States, and the World at large, is at stake.

On top of everything else, Denmark, Norway, Sweden, France, Germany, The United Kingdom, The Netherlands, and Finland have journeyed to Greenland, for purposes unknown. This is a very dangerous situation for the Safety, Security, and Survival of our Planet. These Countries, who are playing this very dangerous game, have put a level of risk in play that is not tenable or sustainable.”

“Therefore, it is imperative that, in order to protect Global Peace and Security, strong measures be taken so that this potentially perilous situation end quickly, and without question. Starting on February 1st, 2026, all of the above-mentioned Countries (Denmark, Norway, Sweden, France, Germany, The United Kingdom, The Netherlands, and Finland), will be charged a 10% Tariff on any and all goods sent to the United States of America.

On June 1st, 2026, the Tariff will be increased to 25%. This Tariff will be due and payable until such time as a Deal is reached for the Complete and Total purchase of Greenland. The United States has been trying to do this transaction for over 150 years. Many Presidents have tried, and for good reason, but Denmark has always refused. Now, because of The Golden Dome, and Modern-Day Weapons Systems, both Offensive and Defensive, the need to ACQUIRE is especially important.

Hundreds of Billions of Dollars are currently being spent on Security Programs having to do with “The Dome,” including for the possible protection of Canada, and this very brilliant, but highly complex system can only work at its maximum potential and efficiency, because of angles, metes, and bounds, if this Land is included in it.

The United States of America is immediately open to negotiation with Denmark and/or any of these Countries that have put so much at risk, despite all that we have done for them, including maximum protection, over so many decades. Thank you for your attention to this matter!”

DONALD J. TRUMP
PRESIDENT OF THE UNITED STATES OF AMERICA

My message to those who worry about President Trump committing us to something protracted that will eventually end in our being pulled into a European theater of conflict vis-a-vis Ukraine, is to quit worrying.

Trump is telling the EU to quit talking and start actively being responsible for their own security.  In the background Trump has bigger plans.

Hans Mahncke has a solid take on the bigger picture:

“The notion that America wants Greenland for its raw materials is either insanely ignorant or just engagement bait. Extracting anything in the Arctic is prohibitively expensive, and often physically impossible, with extreme cold, thick ice, equipment that won’t function, and no roads, rail or ports to move anything once you have it.

The real reason America needs Greenland is its immense geostrategic military value, which should be obvious to anyone with a functioning brain, especially anyone who has ever looked at a map from above, with the North Pole at the center.

Sure, some tasks could be outsourced to NATO, but that alliance is on its last legs, burdened by too many countries with conflicting priorities, and has mainly served as a way for Europe to freeload on US security guarantees. Relying on it for American national security is reckless. It’s far smarter to cut out the endless middlemen and take direct control.” (source)

Mahncke is correct. On one side of the ice, you have North America. On the other side of the ice you have, well, the reason for President Trump to order dozens of icebreakers.

The position of Denmark and Greenland is pathetic. Denmark demands the USA protect the “territories of their kingdom” (their words) including Greenland, which they admit they “cannot do without the USA military.” However, they outright reject the notion the United States should gain something, anything, for providing that protection.

As also noted by Jim Ferguson: “Ursula von der Leyen just went on camera and declared that Greenland “belongs to Denmark and NATO” — directly rebuking President Trump.

Let’s translate that. This isn’t about the Greenlandic people. This is about Brussels panicking because Trump is exposing the Arctic power game.

Greenland controls:

• the northern missile corridor
• Arctic shipping lanes
• and the gateway to North America

That makes it one of the most important strategic territories on Earth.

And Trump said the quiet part out loud: If the U.S. doesn’t secure it, China or Russia will.

Von der Leyen’s response wasn’t to protect the West, it was to protect EU control.

She wrapped it in pretty words about “NATO unity” — but what she really meant was: Brussels gets a veto over American security.

That’s what this is about.

Trump isn’t breaking the alliance. he’s breaking the illusion that unelected EU bureaucrats get to decide the future of the Arctic.

Greenland is not a Brussels bargaining chip; it is the northern shield of the United States, and for the first time in decades, America has a president willing to say it.

Ursula doesn’t hate Trump because he’s reckless, she hates him because he won’t let Europe freeload on American security while selling the future to Beijing.”

October, 2025: Finland is slightly smaller than Montana and wedged between Sweden and Russia. Finland, a nation of approximately 5 million people, has a security outlook shaped by its geography, a strategic position within the new NATO/Arctic strategy.

President Trump holds a bilateral discussion with Finnish President Alexander Stubb, as the two leaders’ complete terms for eleven icebreaker ships valued at $6.1 billion. Under terms of the deal, three of the ships will be built by Davie in Galveston, Texas, and four by Bollinger Shipyards in Houma, Louisiana.

Finland is the world leader in icebreaker ship building and will help teach U.S. ship building companies the latest advances in the technology. [SOURCE]

Stay Elevated:

December, 2025: Appearing on Fox News to discuss the Ukraine v Russia conflict, Finland President Alexander Stubb is questioned about the conflicting U.S. intelligence reports pushed by Reuters saying Russia will invade Europe, versus DNI Tulsi Gabbard saying Russia has no capability or intent to invade Europe.

President Stubb notes his agencies work closely with U.S. intelligence and in his view, Tulsi Gabbard is correct regarding President Vladimir Putin’s intention. [SOURCE]

President Trump is dancing through a geopolitical minefield, deconstructing numerous long-standing manipulative institutions along the way, while simultaneously keeping 100 domestic agenda plates spinning on sticks.

It is amazing to watch his navigation skills.  Smile and enjoy this.

Jan 12 2026

Bessent Is Angry – Minnesota Governor Walz Refused to Provide Any Security for Treasury Secretary


Posted originally on CTH on January 11, 2026 | Sundance

It appears that Minnesota Governor Tim Walz is about to discover what happens when you anger the Treasury Secretary, who happens to be the IRS Commissioner.   WATCH (Prompted):

.

Jan 10 2026

Secretary Bessent Announces Regional Action to Block Remittances From any Entity Receiving Public Assistance


Posted originally on CTH on January 9, 2026 | Sundance 

Treasury Secretary Scott Bessent is leading the charge to focus on Minneapolis, Minnesota Somali fraud rings for targeted regional actions.  The IRS Criminal Investigations division has been dispatched to focus on the Minneapolis region to identify fraudulent use of public assistance services, combined with the abuse of federal taxpayer funds.

These fraud cases, ongoing since the early 2020s and intensifying in 2024–2026, involve allegations of misappropriating hundreds of millions (potentially up to several billions) in taxpayer funds intended for child nutrition, autism therapy, housing stabilization, personal care assistance, and other Medicaid programs.

In a remarkable approach, Secretary Bessent announced during a Fox News interview that a regional targeting effort is now underway that will block anyone who receives public assistance from sending money overseas (remittances to foreign countries).  This is not a fee or tax on the remittance, or financial transaction; this is a complete block of their ability to send money overseas.  Anyone receiving public assistance will not be able to send money to foreign lands.

Yes, it seems like this is initially going to be subject to the honest admission of the money sender. However, with the IRS reviewing each transfer and cross referencing to public assistance records anyone who attempts to work around this regulation will be subject to federal laws on financial fraud, wire service fraud and potentially money laundering.  WATCH:

The interagency focus will eventually go nationwide, as with the new USAO position that focuses on public assistance fraud; but for now, that focused effort will target Minnesota.   Minneapolis will be the beta test for a national rollout.

All of the money service businesses in the region will now be reviewed and all financial transactions of $3,000 will be required to have an accompanying Suspicious Activity Report (SAR).  With DHS, FBI and now IRS investigators focused exclusively on the two counties involved in the Somali fraud rings, the fraudsters will be identified and prosecuted.

Jan 9 2026

Treasury Secretary Scott Bessent Triggers the Clock with Notification of U.S. Withdrawal from UNFCCC


Posted originally on CTH on January 8, 2026 | Sundance |

Giddy up.  Yesterday, President Trump and Marco Rubio announced the U.S. withdrawal from the United Nations Framework Convention on Climate Change (UNFCCC). {GO DEEP} Today, Treasury Secretary Scott Bessent makes the official notification to the UN.

The notification is important because the 1992 UNFCCC was ratified by the U.S. Senate 34 years ago, making it one of the first UniParty climate change pacts supported by the ¹DC business model.

According to the terms of the treaty, withdrawal from the UNFCCC requires an official notification to the United Nations, and the dissolution takes effect one year later.

TREASURY PRESS RELEASE – WASHINGTON – In alignment with the Trump Administration’s decision to withdraw from the UN Framework Convention on Climate Change (UNFCCC), the U.S. Department of the Treasury has notified the Green Climate Fund (GCF) that the United States is withdrawing from the Fund and stepping down from its seat on the GCF Board, effective immediately.

“Our nation will no longer fund radical organizations like the GCF whose goals run contrary to the fact that affordable, reliable energy is fundamental to economic growth and poverty reduction,” said U.S. Secretary of the Treasury Scott Bessent.

The Trump Administration is committed to advancing all affordable and reliable sources of energy, which are fundamental to economic growth and poverty reduction. The GCF was established to supplement the objectives of the UNFCCC, and continued participation in the GCF has been determined to no longer be consistent with the Trump Administration’s priorities and goals. (SOURCE)

For those who have a tough time accepting wins, no, the next President cannot just rejoin the agreement; nor can the Senate block Trump’s withdrawal from it.  The entire process would have to be restarted, and it’s a heavy lift to sell the American public on paying higher prices just to make pontificating global elites feel better about themselves.

In addition, all the AI investments and infrastructure stuff needs quickly expanding massive amounts of energy. So, no, it’s not going to be reversed.

Now take some quiet time tomorrow over coffee and think about how many mechanisms of the U.S. govt are connected to this now removed climate change agenda.

¹God only knows how many ancillary government agencies, NGOs, think-tanks, academic groups, politicians along with their friends and families have been engaged in the business of managing the U.S. involvement in the climate change convention structure.  That entire U.S. Climate Change network is now going out of business.

[Trump Executive Order Here]

Last point.

Think about what an economic advantage this puts the United State in compared to the rest of the western world, and/or any nation that has signed up to the climate change agreements which trigger serious ongoing consequences.

One Example Here.

Almost too much winning….

…. Almost 

Jan 9 2026

U.S. Trade Deficit Drops 40% in Latest Commerce Dept Report


Posted originally on CTH on January 8, 2026 | Sundance 

As you review this latest data on trade, remember any drop in trade deficits has two big picture functions:

First, lower trade deficits generally mean the accompanying GDP release will be stronger than anticipated because imported products are a deduction from the valuation of all goods and services created in the U.S. economy.  Lower imports mean less is deducted.

Secondly, and perhaps most importantly, a drop in the trade deficit created by diminished imports means more wealth remains inside the USA.

We are not spending, sending money overseas, to import foreign goods at the same rate, and that money stays inside the U.S. economy. More wealth inside the U.S. provides the fuel for expanded domestic growth, more investment gains in USA manufacturing and USA industry and the ability to pay higher USA wages.

The Commerce Department is reporting today that the U.S. trade deficit for October 2025 dropped to the smallest amount in 16-years.  A significant amount of the deficit drop was because a high value of physical precious metals (gold/silver) was exported, simultaneous with big offshore pharmaceutical companies dropping the prices of imported products (policy and tariff pressure).

WSJ – The U.S. trade deficit shrank dramatically in October to its lowest level since 2009, the Commerce Department said Thursday, an unexpected twist in a year of volatile trade flows that have been buffeted by the Trump administration’s steep tariffs.

American imports fell to $331.4 billion in October, while exports increased to $302 billion. That yielded an October deficit of $29.4 billion, an imbalance nearly 40% smaller than September’s. (more)

Some may question whether internal consumer demand has declined, causing the significant drop in imports.  However, the U.S productivity rate is still very high – which generally means domestic consumer demand is still high and all units produced have a lower overall cost per unit.

Economic analysis can get weedy…. so, a simple way to look at productivity is to think about baking bread in your kitchen.

If you were going to bake 4 loaves of bread it might take you 2 hrs. start to finish. However, if you were going to bake 8 loaves of bread it would not take you twice as long because most of the tasks can be accomplished with simple increases in batch size, and only minor increases in labor time. Your productivity measured in the last four loaves is higher.

Economic Productivity is measured much the same way, within what’s called a production probability equation.

Additionally, if two hours of your time are worth $40, each of four loaves of bread costs $10 in labor; but if you make 8 loaves in the same amount of time the labor cost is only $5/per loaf.

Improved gains in efficiency/productivity (more bread needed) supports faster economic growth without generating higher inflation; no need to raise prices because your cost to make each loaf of bread decreases the more you make.

Higher sales and lower per unit cost means more profit for the bread-maker. No need to raise prices, and without inflation, there’s no motive for the Fed to raise or maintain high interest-rates.

Increases in productivity generally means the economy is generating more stuff. The more stuff generated the higher the value of all economic activity; this increases GDP growth.

When we see higher productivity in direct alignment with GDP increases, the increased production indicates sustainable GDP growth.

Additionally, we can look at the internal dynamics to see big happenings inside the domestic economy.

The data was delayed by the government shutdown, but in December the Bureau of Economic Analysis released the third quarter 2025 GDP {DATA HERE} showing a very strong 4.3% growth.  The second quarter was also revised up to 3.8%.

Real GDP increased at an annual rate of 4.3 percent in the third quarter of 2025, showing increases in consumer spending, increases in exports.  Third quarter imports, which are a subtraction in the calculation of GDP, decreased boosting the overall GDP number.  This strong GDP result corresponds to today’s report showing a shrinking trade deficit.

Dec 13 2025

U.S. Govt Agency Verifies that Nine Large U.S. Banks Conducted Ideological Debanking Operations


Posted originally on CTH on December 12, 2025 | Sundance 

The United States Office of the Comptroller for the Currency (OCC) has delivered the preliminary results of an investigation into large U.S. banks and the practice of “debanking” customers based on ideology. [PDF HERE]

Between 2020 and 2023, the OCC found that JPMorgan Chase & Co., Bank of America Corp., Citigroup Inc., Wells Fargo & Co., U.S. Bancorp, Capital One Financial Corp., PNC Financial Services Group Inc., Toronto-Dominion Bank, and Bank of Montreal, all maintained policies that restricted legal companies from access to banking based on the “values” of the bank.

According to the OCC report, “these nine banks made inappropriate distinctions among customers in the provision of financial services on the basis of their lawful business activities by maintaining policies restricting access to banking services or requiring escalated reviews and approvals before providing certain customers access to financial services.”

Press Release – […] The Office of the Comptroller of the Currency (OCC) today released preliminary findings from its supervisory review of debanking activities at the nine largest national banks it supervises: JPMorgan Chase Bank, Bank of America, Citibank, Wells Fargo Bank, U.S. Bank, Capital One, PNC Bank, TD Bank, and BMO Bank.

The OCC conducted its supervisory review in accordance with the President’s Executive Order “Guaranteeing Fair Banking for All Americans” to determine whether these institutions debanked or discriminated against any customers or potential customers on the basis of their political or religious beliefs or lawful business activities.

“The OCC is committed to ending efforts – whether instigated by regulators or banks – that would weaponize finance,” said Comptroller of the Currency Jonathan V. Gould. “Although our work continues, the OCC is today providing visibility into the debanking actions against customers and lawful businesses taken by the nation’s largest banks to ensure public awareness, and to halt these harmful and unfair practices.”

The OCC’s preliminary findings show that, between 2020 and 2023, these nine banks made inappropriate distinctions among customers in the provision of financial services on the basis of their lawful business activities by maintaining policies restricting access to banking services or requiring escalated reviews and approvals before providing certain customers access to financial services. For example, the OCC identified instances where at least one bank imposed restrictions on certain industry sectors because they engaged in “activities that, while not illegal, are contrary to [the bank’s] values.” Sectors subjected to restricted access included oil and gas exploration, coal mining, firearms, private prisons, tobacco and e-cigarette manufacturers, adult entertainment, and digital assets.

The OCC’s findings confirm that these or similar policies and practices were in place at each of the banks reviewed. In a reaction to the observations Comptroller Gould stated, “It is unfortunate that the nation’s largest banks thought these harmful debanking policies were an appropriate use of their government-granted charter and market power. While many of these policies were undertaken in plain sight and even announced publicly, certain banks have continued to insist that they did not engage in debanking. Going forward, the OCC will hold banks accountable for these actions and ensure unlawful debanking does not continue.”

This review was first announced by the OCC in September 2025. While the OCC is releasing preliminary findings, its work continues to better understand the full extent and effect of these actions and their impact on affected industries and the American economy. The OCC is also still reviewing thousands of complaints to identify instances of political and religious debanking, which it will report on in due course and as appropriate. (LINK)

The six-page report identifies several industries that faced uphill climbs securing banking services, including oil and gas companies, cryptocurrency firms, tobacco and e-cigarette manufacturers, and firearm companies. The OCC said that many of these banks had publicly disclosed relevant policies, often tied to environmental, social and governance goals.

The report also found some banks adopted heightened reviews for potential customers based on negative coverage in the media.

The OCC will complete their investigation and could send recommendations to the DOJ requesting prosecution.

Dec 9 2025

President Trump Holds a Roundtable Discussion on Agriculture and Farm Support


Posted originally on CTH on December 8, 2025 | Sundance 

President Trump holds a roundtable discussion with Agriculture Secretary Brooke Rollins and various farm state senators as he outlines $12 billion in support and subsidy for American farmers.

With energy prices lowered, the costs for natural gas, fertilizer, diesel and gasoline prices have fallen; however, food costs have remained high.  President Trump announced with Brooke Rollins an initiative to help support American farmers with the intended objective to lower production costs from the field that will hopefully transfer to the fork.

Secretary Rollins and President Trump announce a $12 billion bridge subsidy to assist farmers with proactive planning for the 2026 planting season.  The money is coming from revenue generated by tariffs, and row crop farming will be the first subsidies delivered.  WATCH (media questions begin at 31:40):

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Dec 8 2025

Sunday Talks: Secretary Scott Bessent Discusses Inflation and “Affordability”


Posted originally on CTH on December 7, 2025 | Sundance 

Secretary of Treasury Scott Bessent appears on CBS’s Face the Nation for an inflation and affordability debate with narrative engineer Margaret Brennan.

The primary narrative can be seen in Brennan’s emphasis of the new democrat catch phrase “affordability.”  Having gaslit the American electorate over the issues of Joe Biden’s economic/energy policy which created record inflation, the same media who ran cover for Joe Biden have switched during the Trump administration to calling the subsequent high costs an “affordability” crisis.

In essence, Biden’s economic, energy and monetary policies drove 2021/2022 inflation to record levels, this made all prices rise massively.  Those high prices are now the “affordability problem.”  WATCH:

[Transcript] – MARGARET BRENNAN: Good morning and welcome to ‘Face The Nation.’ We have a lot of news to get to, and we begin with the Secretary of the Treasury, Scott Bessent. Good to have you here.

TREASURY SECRETARY SCOTT BESSENT: Morning, Margaret.

SEC. BESSENT: Mr. Secretary, a lot of people are out there holiday shopping. Here is how the President described back in April, what to expect from this season.

[SOT]

PRESIDENT DONALD TRUMP: Maybe the children will have two dolls instead of 30 dolls, you know. And maybe the two dolls will cost a couple of bucks more than they would normally.

[END SOT]

MARGARET BRENNAN: Was the President’s prediction then, correct?

SEC. BESSENT: Margaret, it’s actually been a very strong holiday season, and the- you know, we’ve seen across all the income cohorts thus far. And so there’s nothing to say that there are two dolls instead of 30 dolls.

MARGARET BRENNAN: The President was wrong to predict lower numbers of purchases and higher prices?

SEC. BESSENT: The economy has been better than we thought. We’ve had the 4- 4% GDP growth in a couple of quarters. We’re going to finish the year, despite the Schumer shutdown, with 3% real GDP growth.

MARGARET BRENNAN: Well, the maker of Tonka Trucks, their CEO, said it’s going to cost 40 bucks for their toys right now because of tariffs and inflation, it was 30 bucks the year before that, 25. Prices in the toy space are accelerating, and people are feeling that.

SEC. BESSENT: Well, Margaret inflation is a composite number, and it’s roughly the same year over year. And if we were to look at all imported goods, imported goods inflation is below the inflation number.

MARGARET BRENNAN: The inflation number, you mean the–

SEC. BESSENT: The PC- the PCE number which is about 2.9%. Imported goods inflation is about 1.8. It’s the service economy that’s generating inflation, which actually has nothing to do with tariffs.

MARGARET BRENNAN: But when we hear from for example, the President, when he says that affordability is a con job by Democrats, that seems to just not be resonating with consumers that have been polled by CBS. 60% of Americans polled by this network told us President Trump makes prices and inflation sound better than they really are, and his approval rating in the economy is now down to 36% in our latest poll. On inflation, approval is even lower, 32%. Don’t you need to show that you feel the pain?

SEC. BESSENT: Well, Margaret, I think the President’s frustrated by the media coverage of what’s going on–

MARGARET BRENNAN: This is the polling of average Americans.

SEC. BESSENT: –No, no- yeah, but I think the average Americans, they are hearing a lot from media coverage. And I will tell you that affordability has two components, there is inflation, and then there is real incomes. Real incomes are up about 1% and what we’re not going to do is say that Americans don’t know what they’re feeling. We’ve been working on it every day. I was on your show on March talking about affordability. The- we’ve made a lot of gains, but remember, we’ve got this embedded inflation from the Biden years, where mainstream media, whether it’s Greg Ip at the Wall Street Journal, toxic Paul Krugman at New York Times or former Vice Chair, Alan Blinder, all said it was a vibecession. The American people don’t know how good they have it. Now, Democrats created scarcity, whether it was in energy or over regulation, that we are now seeing the- this. affordability problem, and I think next year we’re going to move on to prosperity.

MARGARET BRENNAN: You do think there is an affordability problem?

SEC. BESSENT: Sorry?

MARGARET BRENNAN: You do believe there’s an affordability problem?

SEC. BESSENT: Oh, I think the Biden administration created a terr–

MARGARET BRENNAN: No, but now we’re nearly 12 months in, you said the President would own the economy at this point.

SEC. BESSENT: I said that the Biden administration created the worst inflation in 50 years, and maybe for working Americans, the worst inflation of all time. And we have pulled that number down- that Strategas research does something called the common man index. Under Biden, the accumulated inflation number, as measured by CPI, was about 20%. Their index showed 35. This year for the first time, the common man index is below the inflation index because the basket of goods for working Americans, food, gasoline, rent is coming down. So I wrote an essay March 12, 2024, and it talked about the three I’s, immigration, interest rates and inflation. Immigrant- mass, unfettered immigration, depressed wages caused housing prices to go up. President has closed the border that is fixed. Interest rates have come down. The bond market just had the best year since 2020 and now we are working on inflation, and I expect inflation to roll down strongly next year.

MARGARET BRENNAN: Well, I mean, grocery prices are up nearly 3% compared to last September. The President seems to be acknowledging that grocery prices, or at least beef prices, are a challenge, because he put out this order just yesterday saying they’re going to investigate corporate price gouging for high beef prices. Isn’t suing the food companies the same thing the Biden administration did, and it didn’t really work? How is this any different?

SEC. BESSENT: Well, nothing- nothing the Biden administration did worked–

MARGARET BRENNAN: So why are you doing it?

SEC. BESSENT: Because this isn’t the same thing. If they- if they had done this, if they’d done it properly, we’d be in a different spot. And like, beef is one component. Thanksgiving Turkey was down 16%.

MARGARET BRENNAN: Well, I know you are working on the trade front, and for American farmers and the prices that they are experiencing, that they’re feeling a pinch about not having a market to sell into, necessarily.

SEC. BESSENT: Not- not anymore.

MARGARET BRENNAN: Well, the agricultural Secretary just said that the President is going to announce a bridge payment for farmers this week to give them short term relief while you’re working on these- finalizing these trade packages. There are these low crop prices, and the soybeans in particular, I know you spoke with China’s Vice Premier Friday. Are they going to speed purchasing up?

SEC. BESSENT: Well, they’re not going to speed purchasing up. They’re in the cadence that we agreed to. Soybean prices are up about 12 or 15% since the agreement with the Chinese. They are going to buy 12.5 million metric tons. But Margaret, I’m involved in the agricultural industry. I run a soybean farm, and I can tell you–

MARGARET BRENNAN: You own one, you invest in it.

SE. BESSENT: Sorry?

MARGARET BRENNAN: You own or invest in–

SEC. BESSENT: –People in my family go out and work on it. I actually just divested it this week as part of the- my ethics agreement, so I’m out of that business. But I probably know more about any Treasury Secretary than- about agriculture since the 1800s and I can tell you that what farmers need is certainty, and we have put that in place with this trade deal. 12 and a half million metric tons this year, 25 million metric tons for the next three years, for soybeans, also sorghum, the- and lumber.

MARGARET BRENNAN: So those purchases, just to clarify, those will be this year, because I heard you say this past week that some of the purchases wouldn’t take place until February.

SEC. BESSENT: Well, for the- for the season, so the crop year.

MARGARET BRENNAN: The season year?

SEC. BESSENT: Yep.

MARGARET BRENNAN: Okay. But why- if everything’s fine, then why do farmers need a bridge payment from the Agricultural Department?

SEC. BESSENT: Sorry?

MARGARET BRENNAN: Why would farmers need a bridge payment from the Agriculture Department, then?

SEC. BESSENT: Because these prices haven’t come in, because the Chinese actually used our soybean farmers as pawns in the trade negotiations. And we are going to create this bridge because, again, agriculture is all about the future. You’ve got to start financing for planning next year when things will be very good.

MARGARET BRENNAN: I want to ask you about something that was announced this past week, the Trump accounts, and building on this concept so parents, as I understand, are going to be able to open these accounts via the Treasury for their kids, their tax deferred investment vehicles to U.S. citizen children under 18, get $1,000 from the government for babies born between 2025 and 2028. So there are going to be restrictions on what the money can be used for college tuition or their first house, is that right?

SEC. BESSENT: No, it is- the federal government for children born in the period you just described, is going to put $1,000 into these Trump accounts, it will be invested in a widely diversified, low cost index, and then it will be available–

MARGARET BRENNAN: In the stock market, in an exchange traded fund or mutual fund.

SEC. SCOTT BESSENT: So in essence, it is a trust fund. It is a piece of the American economy for every child, and they will be able to take it out when they’re 18, or they can convert it to a more IRA-type program and keep it for their retirement.

MARGARET BRENNAN: So there won’t be the restrictions I mentioned there about how they use the money?

SEC. BESSENT: No.

MARGARET BRENNAN: Okay, so there was also a broadening of this- this past week, with the Dell Foundation making a significant investment in the American children. So how is this going to work? Why structure it this way, instead of a savings account, for example?

SEC. SCOTT BESSENT: Well, a savings account just gets interest. This is the compounding power of the stock market. As Warren Buffett says, don’t- don’t bet against the American stock market, don’t bet against the economy. And this is going to bring a whole group of new investors into the market. We’re going to couple it with a big amount of financial literacy, so that children understand what they own. The incredible gift by Michael and Susan Dell will be the- is a program that philanthropists’ foundations can do to top up these accounts. And we are expecting, we’re already at- Treasury is already in discussions with foundations, with major philanthropists to top up these accounts. It could either be for all children, or you can specify it by zip code, a school district, or you can do what the Dells did, and say that it will be- won’t apply to the zip codes of the top 20% of earners.

MARGARET BRENNAN: And more information is going to be coming out on how to use this and access it?

SEC. SCOTT BESSENT: Yes, in the coming weeks, we’ll do that, and then the official kickoff will be July 5.

MARGARET BRENNAN: Before I let you go, I want to ask you about this massive fraud out in Minnesota, and the state welfare program has been under federal investigation since all the way back in 2022. The President told you, though, this week, to look into Somalis who, quote, ripped off that state for billions of dollars. He said they contribute nothing. What exactly are you investigating?

SEC. SCOTT BESSENT: Well, Margaret, to be clear, the initial fraud that was discovered by the IRS for which I’m the Acting Commissioner- is discovered by IRS Criminal Investigations Unit. This was not an endogenous thing that the state of Minnesota decided. We had to go in and clean up the mess for them, and this is part of the continued cleanup. A lot of money has been transferred the- from the individuals who committed this fraud, including those who donated to the government- Governor, donated to Representative Omar and donated to AG Ellison, but they’ve been transferred to something called MBs–

MARGARET BRENNAN: Mortgage backed securities, what–?

SEC. BESSENT: Sorry?

MARGARET BRENNAN: Transferred to what?

SEC. BESSENT: These are money- the- bureau services, and they are wire transfer organizations that are outside the regulated banking system, and that money has gone overseas, and we are tracking that- the- both to the Middle East and Somalia to see what the uses of that have been.

MARGARET BRENNAN: Okay, but you have no evidence of that money being used to fuel terrorism, which is what some conservative writers are alleging?

SEC. SCOTT BESSENT: That’s why it’s an investigation. We started it last week. We’ll see where it goes. But I can tell you that, you know, it’s terrible. You know, Representative Omar tried to downplay it. Said, oh, it was very- the- it was very tough to know how this money should- should be used. She was gaslighting the American people.

MARGARET BRENNAN: Well, we’ll talk to her.

SEC. BESSENT: Yeah. But, you know, when you come to this country, you got to learn which side of the road to drive on. You got to learn to stop at stop signs, and you got to learn the- not to defraud the American people.

MARGARET BRENNAN: Well, there are plenty of- plenty of criminal behavior from communities well beyond the immigrant community, but we’ll talk about this with Representative Omar shortly. Thank you, Mr. Secretary.

SEC. BESSENT: Good.

[End Transcript]

Dec 6 2025

The Money Phase – Emissary Witkoff Updates on Ukraine/Russia Peace Negotiations


Posted originally on CTH on December 6, 2025 | Sundance

If we read between the lines in the latest update from President Trump emissary Steve Witkoff, we can clearly see the negotiations have entered into that critical phase where payments to all of the stakeholders will determine a successful outcome.

Pragmatic people have long predicted the ultimate solution to the bloodshed will only be determined once western interests get to the point where negotiators propose a long-term plan for continued financial benefit.  Too many people, “stakeholders” are making money from the conflict.

From a western perspective, support for the Ukraine conflict is based on money. Therefore, the solution to the conflict requires a system where the western opportunity for financial benefit continues.

Written in polite diplomatic terms, the continued payments are identified as “the prosperity agenda which aims to support Ukraine’s post-war reconstruction, joint U.S.–Ukraine economic initiatives, and long-term recovery projects.” This is codespeak for the U.S. Senate and EU will retain a financial mechanism to exploit for personal benefit.

From the language it appears that Witkoff and Kusher are confident they can construct a financial reward system for western banks, investors, politicians and Ukraine officials that will retain the benefits of war without the ancillary ingredient of bloodshed.

If the U.S. delegation can pull this off, then Russia can gain the territory they want, corrupt Ukraine officials can keep skimming investment money, the EU can retain the power it wants to extract financial payments, American politicians can use the “long-term recovery projects” for money laundering and quasi-public/private investment banks can benefit from the exploitation of Ukraine resources.

Again, from a ‘western geopolitical perspective’, the territorial issues, security guarantees, EU membership status and the position of NATO are downstream details once the larger payment system is organized.  Put another way, they are down to the stuff that really matters, the money.

STEVE WITKOFF – Readout of Meeting Between Special Envoy for Peace Steven Witkoff, Jared Kushner, Ukrainian Secretary of National Security and Defense Council Rustem Umerov, and Chief of General Staff General Andriy Hnatov

Over two days, Special Envoy for Peace Steven Witkoff and Jared Kushner met with Ukrainian Secretary of National Security and Defense Council Rustem Umerov and Chief of General Staff General Andriy Hnatov for constructive discussions on advancing a credible pathway toward a durable and just peace in Ukraine.

Today, the group had their sixth meeting over the past two weeks. Secretary Umerov reaffirmed that Ukraine’s priority is securing a settlement that protects its independence and sovereignty, ensures the safety of Ukrainians, and provides a stable foundation for a prosperous democratic future.

The participants discussed the results of recent meeting of the American side with the Russians and steps that could lead to ending this war. The American and Ukrainians also agreed on the framework of security arrangements and discussed necessary deterrence capabilities to sustain a lasting peace.

Both parties agreed that real progress toward any agreement depends on Russia’s readiness to show serious commitment to long-term peace, including steps toward de-escalation and cessation of killings.

Parties also separately reviewed the future prosperity agenda which aims to support Ukraine’s post-war reconstruction, joint U.S.–Ukraine economic initiatives, and long-term recovery projects.

American and Ukrainian parties underscored that an end to the war and credible steps toward ceasefire and de-escalation are necessary to prevent renewed aggression and to enable Ukraine’s comprehensive redevelopment plan, designed to make the nation stronger and more prosperous than before the war.

Parties will reconvene tomorrow to continue advancing the discussions.” (source)

From the Russian side of the equation the war is about ideology, national security and proactive defeat of western, mostly American, encroachment and influence.  From the western side, the EU support for Ukraine was less ideological and more financially motivated.

Russia and Ukraine have paid a high price in the larger proxy war.  Russia has won the physical fight.  Hopefully soon the financial terms will be accepted by the western stakeholders and combat operations can cease.

Ukraine President Zelenskyy will get a nice villa in Europe and a reasonable mansion in the USA.  The cocktail parties will continue with crustless cucumber sandwiches and white wine spritzers, while the ladies go shopping and the men get manicures while talking about which of their favorites will replace Zelenskyy.