Trump is golfing, China is retaliating, and the Dow, S&P, and Nasdaq are all in the red. What's going on? And why is this happening? Stephanie Ruhl explains.
00:01:40.920And for those who say leave it to Trump, he is the master of the art of the deal.
00:01:45.880Back in those days, he was one man negotiating for one business.
00:01:50.020A man who went bankrupt six times with those businesses.
00:01:53.460And tonight, while the markets are in the red, business leaders and American entrepreneurs, they're in the dark.
00:01:59.640The point of this ultimately is to get people to buy more U.S.-made products.
00:02:04.460But you are counting on that revenue, as we've seen some of your colleagues, like Peter Navarro, arguing how much money this could bring into the United States.
00:02:11.340In the end, wouldn't that theoretically dwindle over time if people are buying more U.S. and there's less money coming in from what's being imported into the United States?
00:02:22.120And that's why in the past I've called tariff policy done properly as a shrinking ice cube, because what will happen, we will start out with high, high tariff income.
00:02:33.580But then as the factories come to the U.S., we will have more business income and we'll have more paycheck income because American workers will be earning.
00:02:43.120So, you know, you would see it's a rebalancing.
00:02:45.680So we'd rebalance away from tariffs to more domestic income.
00:02:50.160But the idea that it would put a dent in the national debt then would seem not to be likely, right?
00:02:55.740Well, not at all, because for right now, we have the income that we have and we will be adding tariff income to that.
00:03:06.340So when we get CBO scoring, the CBO scoring is not going to include any tariff income.
00:05:19.840The second thing is, why would you get angry at the person who is reacting to the asymmetrical tariff and not the people who inaugurated the tariff?
00:05:28.600Why is Canada mad at us when it's running a $63 billion surplus and it has tariffs on some American products at 250 percent?
00:05:42.360Doesn't it seem like the people who started this asymmetrical, if I could use the word trade war, should be the culpable people, not the people who are reluctantly reacting to it?
00:06:01.940We don't blame America because it finally woke up and said, whatever they tariff us, we're going to tariff them.
00:06:09.560The distribution of equities across households, the top 10 percent of Americans own 88 percent of equities, 88 percent of the stock market.
00:06:19.520The next 40 percent owns 12 percent of the stock market.