China deal could boost Dow 10,000 points: Art Laffer

China deal could boost Dow 10,000 points: Art Laffer


LATEST 15% TARIFFS ON CHINESE GOODS TOOK FEATHSUNDAY PRESIDENT TRUMP SPOKE ABOUT LATEST NEGOTIATIONS WITH CHINA YESTERDAY AT THE WHITE HOUSE.>>LET ME TELL YOU IF I WANT TO DO NOTHING WITH CHINA, MY STOCK MARKET OUR TO BEING MARKET WOULD BE 10,000 POINTS HIGHER. THAN IT IS RIGHT NOW. BUT SOMEBODY HAD TO DO THIS TO ME THIS IS MUCH MORE IMPORTANT THAN THE ECONOMY. SO WE WILL SEE WHAT HAPPENS IF THEY WANT TO MAKE A DEAL WE THEY WILL MAKE A DEAL IF THEY DON’T WANT TO MAKE A DEAL THAT’S FINE I CAN TELL YOU THEY’RE HAVING ONE OF THE WORST I GUESS WORSE ON RECORD, AND THEY WANT TO MAKE A DEAL. IF I WERE THEM WOULD I WANT TO MAKE A DEAL TOO BUT WE WILL SEE WHAT HAPPENS.>>LAVER ASSOCIATES CHAIRMAN START LAFFER A PLEASURE TO SEE YOU THANKS FOR JOINING ME.>>MY PLEASURE THANKS.>>NOT JUST WHAT NO DEAL HAS DONE TO THE MARKET, YOUR EXPECTATIONS ARE IF WE DO GET A DEAL, GOING TO BE HUGE FOR THE MARKET WHAT ARE YOU EXPECTING?>>I THINK HE IS RUNNING ABOUT 10,000 ON DOW PULLED OUT OF THE HAT FRANKLY A HUGE THING FOR THAT BECAUSE, IT STARTS HAVING A DYNAMIC CONSEQUENCE WITH THE REST OF THE WORLD JAPAN, SOUTH KOREA EUROPE EVERYWHERE IN THE WORLD WILL START DOING DEALS LIKE THE TARIFF NEGOTIATIONS THAT WAS ONE OF THE MOST SPECTACULAR POLICY EVENTS EVER, IT ROCKETED U.S. ECONOMY DURING KENNEDY ERA, THIS IS SAME TYPE OF THING WITH TRUMP.>>SO YOU THINK THE DOW IS AT 26,625 YOU THINK IF WE GET DEAL WITH CHINA COULD SEE THIS MARKET GO ALL THE WAY UP TO 36,000? ANOTHER 10,000 POINTS ON THE DOW?>>REMEMBER I PULLED IT OUT OF THE HAT HE YES, I DO REALLY POSITIVE, IT WILL BE WONDERFUL FOR THE PRESIDENT FOR THE COUNTRY, FOR EVERYTHING FOR POLITICS IT WILL TAKE A LOT OF THE NASTINESS OUTS OF THE WORLD PEOPLE LOVE WORKING LIKE BEING RICH, IT REALLY MAKES LIFE A LOT MORE PLEASANT, AND I THINK THAT WILL BE PART OF THE CASE, CHINA WE NEED CHINA VERY MUCH, MARIA, THEY NEED US, VERY MUCH, I MEAN A PERFECT MATCH OF COMPARATIVE ADVANTAGE BETWEEN COUNTRIES ONLY THING GET IMPEDIMENTS OUT OF THE RAY STEALING INTELLECTUAL PROPERTY TRANSFER OF TECHNOLOGY ALL OF THIS I AM SURE A COUPLE THINGS WE NEED TO DO TO MAKE IT BETTER FOR US AND THEM AS WELL I AM EXCITED I AM EXCITED WHAT THEY DID WITH HONG KONG WITHDREW LEGACY, EXTRACTION TAX WHATEVER IT WAS FOR EXTRADITION –>>EXTRADITION BILL THAT WOULD HAVE MADE ANYBODY — IN HONG KONG YOU HAVE TO FACE TRIAL IN CHINA –>>YES, THAT IS THE THAT IS NOT TRUE I THINK LAM WITHDREW IT.>>SHE DID.>>WONDERFUL. MARIA: SPARKED A BIG RALLY YESTERDAY BUT LET’S YOU THE P CHINA ASIDE FOR A SECOND ART I WANT YOUR TAKE ON REALLY WHERE WE ARE, IN THE ECONOMY, TODAY. THERE IS THE DEBATE RIGHT NOW, WHEN YOU LOOK AT JOBS IN AMERICA WE JUST HAD ADP OUT, AND THAT WAS 195,000 JOBS, ADDED TO ECONOMY LAST MONTH, WE ALSO HAVE ESTIMATES THIS MORNING, THAT SHOW THE AUGUST REPORT OUT OF LABOR TENT WILL BE RELEASED TOMORROW, SHOW THAT 158,000 JOBS ARE EXPECTED TRIBE ADD TO TH TRIBE ADD IN TH TRIBE ADD IN MH TRIBE ADD IN MONTH UNEMPLOYMENT RATE STEADY 3.7% HOW DO YOU CHARACTERIZE THINGS TODAY.>>THAT IS VERY, VERY NICE WHAT IS HAPPENING IN THE U.S. IS RELATIVE TO THE RECENT PAST SLOWING DOWN A LITTLE BIT, AND I STRESS A LITTLE BIT. BUT WHAT IS REALLY AMAZING MARIA NO ONE TALKS ABOUT, IS IN 2016, 2017 WE WERE VIRTUALLY OF EUROPE MOVED WITH THEM IN GROWTH RATED GDP ALL OF A SUDDEN IN THIRD AND FOURTH QUARTER OF 2017 LINE TO ’18 HALF OF ’19 SEPARATED OURSELVES FROM EUROPE BY A ABOVE IT IF WE HAD GROWN EUROPEAN RATE OF GROWTH WE HAVE BEEN BEFORE IF WE HAD WE WOULD HAVE 750 BILLION DOLLARS CUMULATIVE LESS GDP THAN WE HAVE TAX CUTS WORKED DEREGULATION WORKED WAY TO COMPARE U.S. NOT WITH PAST BUT THE REST OF THE WORLD TURNING DOWN REMAI RAPIDLY AND WE ARE NOT THAT IS MOST THING GOOD XH I CAN SEE.>>SEEM TO HAVE IMPACTED BUSINESS MANAGERS DECISIONS IN TERMS OF CAPEX UNCERTAINTY AROUND CHINA UNKNOWN.>>THAT IS RIGHT.>>GO AHEAD.>>YEAH, THAT IS WHAT THEY SAY BUT IF YOU LOOK AT NUMBERS IF YOU LOOK AT REAL GDP GROWTH RIPE THING THE MEASURE, IT IS LOOKING VERY GOOD RELATIVE TO THE REST OF THE WORLD ALSO IF YOU LOOK AT STOCK MARKET, U.S. STOCK MARKET IS LOOKING VERY GOOD RELATIVE TO EUROZONE ANY OTHER PLACES CHINA, I MEAN WE ARE DOING VERY WELL IN THE SEA OF NATIONS THAT IS DOING VERY BADLY. AND THAT IS WHEN YOU REALLY NEED GOOD ECONOMICS WHEN EVERYONE AROUND YOU DOING BADLY KEEPS FROM YOU SUFFERING THE WAY THEY SUFFER.>>GOOD FAITH YOU GO ART WHAT IS YOUR REACTION TO THESE ROCK-BOTTOM RATES WHERE WE SEE IT INVERSION STILL, WITH THE THREE MONTH AND 10 YEAR, YIELD, AND HAVING, YOU’VE GOT THE DEMOCRATS THAT CONTENDERS FOR PRESIDENT’S JOB, TALKING ABOUT RECESSION. ON THE HORIZON, HOW DO YOU SEE IT.>>YEAH WELL — WHAT — WHAT THEIR SEEING THEY ARE SEEING THE REST OF THE WORLD GERMANY HAS NEGATIVE REAL YIELDS YOU HAVE TO PAY GERMAN GOVERNMENT MONEY TO LEND TO THEMTH THAT’S CRAZY, WHAT HAS HAPPENED THE FED HAS BEEN VERY TIGHT ON MONEY KEPT INTEREST RATES WAY TOO HIGH DISCOUNT RATE, AND IF TO LOWER DISCOUNT RATE AS MUCH AS 100 BASIS POINTS WOULD PUT IT JUST SLIGHTLY BELOW THE 5 YEAR TBONDED YIELD WHICH IS STILL VERY HIGH YOU WOULD HAVE I THINK VERY NICE MARKET HERE, THE REASON PEOPLE ARE GOING INTO GOLD IS BECAUSE THERE IS NO RETURN ANYWHERE ELSE THE STOCK MARKET WE HAVE IS A STRONG DOLLAR WITH STRONG DOLLAR U.S. INTEREST RATES SHOULD BE MUCH LOWER THAN THE REST OF THE WORLD NOT HIGHER. BUT WE ARE MUCH, MUCH HIGHER THAN THE REST OF THE WORLD, BECAUSE OF THE BAD ECONOMIC CONDITIONS ABROAD SO I AM VERY BULLISH ON AMERICA I DON’T SEE A RECESSION I DON’T SEE ANYTHING LIKE THAT COMING THERE ARE NO POLICIES THAT WOULD LEAD ME TO BELIEVE THAT, THAT CAN ALL CHANGE QUICKLY BUT I AM VERY BULLISH MARIA I THINK IT IS GOOD RIGHT NOW SO THAT. MARIA: WE LIKE TO HEAR THAT FOR SURE ART GREAT TO SEE YOU –>>I LOVE BEING ON WITH YOU WHEN MARKET IS UP PITCHER YOU DON’T HAVE YOU PUMPS YOU

15 thoughts to “China deal could boost Dow 10,000 points: Art Laffer”

  1. Real GDP growth is still way below the Clinton years and most of the Obama years. Look it up. Trump has done nothing for the rust belt voters and Wal-Mart clerks who elected him beyond symbolic gestures.

  2. We gotta start testing Poland springs for toxic stuff and see what we can do with that if its Illegal

  3. How much would the dow boost in 5 years with end of trade with China all together? Sure there would be a near term drop and recession but in 5-10 years we would be free from China and retain a lot more of our technology industry as we wouldn’t face Chinese competitors selling our same patented tech back to us cheaper than we could sell it for. How much long will Apple even be around if Huawei and xaiomi ect are allowed to sell knock offs? Whether you like America’s big tech companies or not, they are the lifeblood of our economy and without them there will be millions out of work and a downward spiral economy as we negotiate away our resources to stay relevant on the global economic scale.

  4. Look everybody look how good it's going an you want socolist wake up we are free an we are rolling stop the Dems now they want you to be a slave to them don't you understand it time to show them an the world we are free an going to stay that way time is here an now to vote the Dems out to stay free don't you see what they did to you an now they have forgotten you an want only illegaly people that have came here an broke our laws time to vote them out now they want you to be a slave 😠

  5. BREAKING: Trump ends US China trade war; swaps Hong Kong for California in unprecedented deal

    Washington DC—After months of growing trade tensions between the US and China leading to an impending global recession, along with mounting strife in Hong Kong prompting dissidents to wave American flags, US President Donald Trump has negotiated quite possibly the biggest deal of his life.

    The US will trade the entire state of California for Hong Kong in a flat exchange.

    “Basically everyone in California wants to be commies and Hong Kong wants to be American, so we did what we call a win-win-win and traded the two in a tremendous deal,” Trump said in a press conference announcing the unprecedented deal.

    Markets responded with a complete turnaround from recent declines and posted record numbers.

    Californians and Hong Kongers were dancing in their respective streets—Californians happy about the 1-child-only policy and finally being run by the Communist Party—and Hong Kong happy about being part of the free world once again.

    If only it was true.

  6. Pump the brakes Art! You may be right, but the best thing we can do is pass the USMCA and create new bilateral deals. Dump China CCP once and for all!

  7. The republican way. A better deal with a communist country will book our investment dollars. Our workers won't be making any more money, because we are still buying products made by slaves, but our investment class will do great. Our nation is bought and paid for and run by the devil.

  8. And if i had a 12 inch !#*& most women would run in fear. Go Trump. You brought on a REGAN finantial consulatant? Just no.

  9. Yeah it will make all the people that invest in the stock market, aka people with money, richer….yay??? literally does nothing for the average Joe

  10. Forget china we have more then enough to handle. with the crimes against america right here. Clean up our treasonous criminals then think about china

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