Jay Weber Show transcript 8-1-25
I’ve got a few listeners who were looking for a more dramatic reaction on wall street to these pro-America trade deals that president trump is starting to finalize and put in place.
They expected to see the financial markets ‘move’ more dramatically this week. Instead, the trading has been solid, but the Dow, Nasdaq, etc.-
The indexes haven’t moved that much.
For example: the Dow has been sliding up and down and hanging within that 44 thousand range: you’d think this positive trade deals would have it leaping past 45-thousand and climbing...
But...that hasn’t happened.
I believe it will.
These deals still aren’t getting the attention they deserve by the accomplice news media...but they can’t be ignored, either.
It’s probably the trade deals with Canada and Mexico-once they’re completed- that will cause the markets to move the most.... if you are looking for one day’s movement...or more dramatic movement.
But if these deals mean the Dow and Nasdaq even ‘settle in where they are’....as 44-thousand and 21 thousand become the new floor-
Or the new floor for the s-and-p is about 63-hundred-
Even that will be a huge positive for the economy, for retirees, and for this economy moving forward.
Member- the biggest deals with Canada and Mexico aren’t completed yet-and just yesterday- trump extended Mexico’s deadline for reaching one for another 90 days after speaking with their president.
He also expressed disgust at Canada’s new prime minister for tossing in with England and France on a plan to quote...recognize...a Palestinian state in September unless Israel has wrapped up its war against Hamas by then.
Trump didn’t like that move-and says it imperils Canada’s trade deal.
And so, one reason the effect on the markets hasn’t been ‘hugely positive’ yet, is because the president and his team are still sending mixed signals...
As are the leaders of these other countries as trump’s team finalizes deals with them.
Remember: they are setting new agreements that are either putting new tariffs on their goods...or increasing the existing ones...and that’s not exactly ‘thrilling’ for them. And so, trump’s ‘pro-America’ deals aren’t necessarily going to thrill the global economy or global markets.
But- they are already starting to prove beneficial to America. Just over the last few days-
President trump announced a deal with India and South Korea-another two major trading partners of ours.
But neither of these deals are really finalized, signed, and on paper yet, and until they are, they aren’t likely to ‘move markets.
But both of those countries- major trade partners- so these will also be ‘big deals’ once finalized.
We’ve been talking about how the doomsday predictions from the ‘expert economists’ simply aren’t coming true. Trump’s tariff wars-if you want to call them that-haven’t crashed into the economy or led to new inflation or caused major manufacturing slowdowns.... or any of the dire consequences that the experts were scaring the American people withduring the first months of this year.
Instead-as we near the conclusion of finalizing some of these biggest deals-including the biggest trade deal in history with the European union-
These are all hugely positive wins for the American people, workers, manufacturers, taxpayers.
The democrats can poop on it, and Obama’s economists can find reasons to criticize-but i lived thru the Obama, Biden, and Clinton eras-and not a single one of them got into office....and six months later...had five trillion dollars’ worth of new ‘foreign investment’ promises...that mean hundreds of thousands of new, good paying jobs for American workers.
And none of them had a plan in place to rebalance our trade agreements using simple ‘access to the American markets’ as the biggest leverage.
Heck-none of those democrats even ‘knew’ or ‘saw’ the power of the trade levers they’d been given.
Trump did.
I have been one of those ‘Reagan era free traders for my entire adult life. I saw the wisdom in trying to get our global partners down to ‘no tariffs on either country’s goods.... which would still greatly benefit America in the ‘consumer equation’....
But i didn’t see the possibilities of using tariffs as levers to ‘rebuild American jobs and manufacturing’ after five decades of democrat and labor union policies have driven so many u-s and foreign companies-out- of America....looking for cheaper labor.
That’s one of the ugly effects of America’s trade policies and democrat and union policies have had on America: driving so much of our economic activity overseas and offshore, and across borders.
Trump and his team are working a smart plan to restore it, and most of us on the fiscally conservative side of the aisle can see that now.
I didn’t see Clinton, Obama, or Biden come into office and -six months later- or six years later!- be able to say they’d injected the economy with five-trillion dollars of additional foreign growth...or say they’d been able to enact a plan that will raise 300-billion dollars a year for the treasury-so we can use some foreign money-instead of u-s taxpayer money- to pay some of our bills and/or pay down some of the national debt.
We didn’t get any of this activity from any of the last three democrat presidents-dating back to 1994...so...they and the so-called ‘experts’ that they had running their economies and forming their economic policy can pretty much...just...sit down and shut up now.
I’ve been getting a kick out of the east coast media running to Janet Yellen and Larry summers every few days.... looking for them to poop on all this good economic news.
It’s like asking carrot top to analyze the genius of Seinfeld.... Or asking Jessica Simpson to analyze the Beatles catalog.
I think they’re ‘in over their heads’.
Kevin Hasset is trump’s budget director-and he linked trump’s new trade deals to the great second quarter GDP growth...and the other economic indicators that show wages are up and inflation is down.... etc...
And said this- to reporters on Wednesday:
Yep. This is a series of things-pieces of a larger plan- that are coming together here: it’s not just the new trade deals that are supposed to spark and heal the economy. It’s also. A downsizing of the federal government...and reductions in spending. And reductions in crushing and expensive regulations- etc.
I have somewhere in the stack here- a story about how-so far, this second term- the trump cabinet members and their teams are killing off ten new regulations for each one they’re putting in place.
We’ve got a ten-to-one ‘deregulation rate’ going on here- under trump- and you can bet that every.single.one of those regulations being killed off means significant savings of time and money to all sorts of small, medium, and large businesses across the country.
Lower taxes and deregulations favor businesses of all sizes-and Trump and the republican congress is delivering them.
Don’t worry about the stock market rising ‘fast enough’ for you. It’s coming.
photo credit: Getty Images
audio version of the segment here > Yep, the tariffs are working.