The StoneZONE with Roger Stone - The Stone Zone ｜ 04-09-25

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00:00:30.000 This is the Stone Zone with Roger Stone.

00:00:43.840 People love him and respect him.

00:00:45.300 Roger Stone.

00:00:46.500 Now, get him a zone.

00:00:48.500 It's the Stone Zone.

00:00:50.540 Here's Roger Stone.

00:00:53.780 Welcome in to the Stone Zone.

00:00:56.700 Anybody who knows President Donald Trump, and I've known him 50 years, understands he is not a man to be trifled with.

00:01:07.520 I mean, I worked for former Presidents Richard Nixon.

00:01:10.180 I also worked for Senator Bob Dole.

00:01:12.700 He would have been a great president.

00:01:14.480 They were both very, very tough guys.

00:01:17.240 But neither one of them is as tough as Donald Trump.

00:01:20.480 And he has a worldview, which is correct.

00:01:23.920 He's been saying since the 80s, I remember when I persuaded him to dip his toe in the water in 1988 with a potential presidential bid.

00:01:36.140 We made a trip to Portsmouth, New Hampshire.

00:01:38.140 And he spoke to the Portsmouth, New Hampshire Chamber of Commerce, I believe it was.

00:01:44.880 It was really the first time I'd ever seen the electricity of Trump in a political context.

00:01:50.520 And, of course, the fact that it was an election year, the fact that New Hampshire holds the first in the nation primary.

00:01:56.840 There was huge speculation that this trip was about exploring a presidential bid.

00:02:04.760 And he spoke in a speech that could be given today.

00:02:09.520 He talked about the inequities of our trade deals with countries around the world.

00:02:16.620 As he pointed out, when it comes to negotiations, they send killers and we send social workers.

00:02:23.480 Donald Trump's economic plan is not as simple as a tariff war.

00:02:29.420 That is but one leg of a three-legged stool.

00:02:33.500 Yes, he would like to go to zero tariffs everywhere.

00:02:36.980 You put no tariffs on us, we'll put no tariffs on you.

00:02:40.640 That's free trade.

00:02:42.060 That's fair trade. 0.52

00:02:43.560 But he will use tariffs as a cudgel to get a fair deal for the United States.

00:02:49.620 Then, of course, we have to renew the Trump tax cuts, which were not only the deepest across-the-board tax cuts in American history,

00:02:58.280 but we must also cut our profligate spending.

00:03:02.540 If Elon Musk and Doge have done anything, they've demonstrated to the American people the not millions,

00:03:09.680 not billions, but trillions of dollars that are being spent, or God knows what,

00:03:16.600 subsidizing all kinds of political causes and being paid to journalistic enterprises right here in the United States.

00:03:25.480 It's a massive waste of money.

00:03:27.620 I mean, $140 million to the New York Times?

00:03:30.960 That's a lot of subscriptions.

00:03:33.260 $90 million to Politico?

00:03:35.240 For what?

00:03:35.840 So, after President Trump raised tariffs on China to 104% yesterday,

00:03:42.760 China retaliated with an 84% tariff on U.S. products.

00:03:47.340 Contrast that with the Mexicans who announced that they were dropping their tariffs to zero,

00:03:52.800 so we will now drop ours to zero.

00:03:55.520 See, I really don't think Donald Trump is a traditional conservative.

00:03:59.080 It's not that he loves tariffs, but he loves using them as a club to force other nations to give us a fair deal.

00:04:06.700 In fact, President Trump has responded by lowering tariffs for every nation except China,

00:04:13.160 whose tariffs he raised even higher.

00:04:16.040 On True Social, President Trump said,

00:04:17.880 Based on the lack of respect China has shown to the world's markets,

00:04:22.500 I am hereby raising the tariff charged to China by the United States to 125% effective immediately.

00:04:29.900 At some point, hopefully in the near future,

00:04:32.520 China will realize that the days of ripping off the United States of America are over. 0.99

00:04:36.660 In other countries, it is no longer sustainable or acceptable.

00:04:41.520 Conversely, and based on the fact that more than 75 countries have called representatives of the United States,

00:04:48.120 including the Department of Commerce, the Treasury, and the United States trade representative,

00:04:54.380 to open negotiations for a solution to the subject being discussed relative to trade,

00:05:00.240 trade barriers, tariffs, currency manipulation, and non-monetary tariffs,

00:05:07.240 and that these countries have not, at my strong suggestion,

00:05:10.420 retaliated in any way, shape, or form against the United States, 0.55

00:05:13.860 I have authorized a 90-day pause

00:05:16.180 and a substantially lowered reciprocal tariff during this period.

00:05:20.600 A mere 10%, also effective immediately.

00:05:23.880 Thank you for your attention to this matter.

00:05:26.720 I always can tell when the President's posting himself late at night,

00:05:31.240 there's a lot of capitalized words and all capital words,

00:05:36.200 and occasionally even a misspelling,

00:05:38.560 because, you know, sometimes your mind works faster than your fingers.

00:05:42.040 Greg, I always tell when it's him, it's not some junior staffer.

00:05:46.960 The Dow Jones and the stock market responded at 1.30 p.m. Eastern time

00:05:52.380 by shooting upwards almost 2,000 points.

00:05:56.060 So much for the Panacons. 1.00

00:05:59.540 That's the name that President Trump has given those who don't have the courage

00:06:04.740 to see this reset of the American economy through.

00:06:09.460 Yesterday's show, I suggested that the enormous sell-off

00:06:14.060 and the panic in the stock market be investigated,

00:06:17.300 because I think most of those dumping huge amounts of stock

00:06:22.540 are institutional investors, maybe in some cases even foreign countries.

00:06:27.380 I'm not sure that if they look closely, and the SEC can do this,

00:06:32.120 that you will find that it is the mom-and-pop investors

00:06:36.000 who are selling off.

00:06:39.000 The stock market is only a measure of our economy

00:06:43.460 when the Democrats want it to be.

00:06:45.240 When we had record stock market under President's first term, 0.92

00:06:49.180 the Democrats insisted that it meant nothing.

00:06:51.960 I don't think it's a good long-term barometer

00:06:56.760 of the health of the American economy.

00:07:00.080 Barry Habib, one of the leading experts in the country

00:07:04.460 when it comes to mortgages and housing,

00:07:06.860 but also, candidly, economically across the board,

00:07:10.420 one of the smartest guys I know is going to join us in a little bit

00:07:13.560 to talk about this.

00:07:15.260 President Trump's tariffs began last Wednesday

00:07:17.460 and have created massively successful results so far.

00:07:21.260 You wouldn't know that by watching CNN or MSNBC

00:07:24.700 and several of the others,

00:07:27.740 but those aren't really news outlets, folks.

00:07:29.480 Those are propaganda fronts.

00:07:32.040 Don't go looking there for the truth.

00:07:34.080 Go looking here at the Red Apple Audio Networks

00:07:37.920 and the programming we have,

00:07:39.360 particularly, pardon me if I'm biased,

00:07:42.040 the Stone Zone.

00:07:43.200 The European Union and Taiwan 0.79

00:07:45.240 already offered the United States a flat deal

00:07:47.540 of zero tariffs for zero tariffs across many industries.

00:07:50.920 White House Press Secretary Caroline Leavitt,

00:07:53.920 she's a firecracker, by the way, 1.00

00:07:56.000 said that since the Liberation Day announcement,

00:07:59.100 nearly 70 countries have reached out to the president

00:08:02.080 to begin a negotiation.

00:08:05.920 Regarding China,

00:08:07.160 Trump fulfilled his earlier promise

00:08:09.860 when he said China issued retaliatory tariffs at 34%

00:08:13.680 on top of their already record-setting tariffs,

00:08:16.700 non-monetary tariffs,

00:08:18.140 illegal subsidization of companies,

00:08:21.580 and massive long-term currency manipulation,

00:08:24.340 despite my warnings that any country

00:08:26.560 that retaliates against the United States

00:08:28.880 by adding additional tariffs above and beyond

00:08:30.780 their existing long-term tariff abuse,

00:08:33.440 our nation will be immediately met with new

00:08:35.160 and substantially higher tariffs,

00:08:37.740 above and beyond those initially set.

00:08:40.520 Therefore, if China does not withdraw,

00:08:42.320 its 34% increase above their

00:08:44.340 already long-term trade abuses by tomorrow,

00:08:48.460 the United States will impose

00:08:49.660 an additional tariff of 50%

00:08:51.800 effective April 9th.

00:08:53.520 And Donald Trump is a man who says what he means

00:08:55.980 and means what he says.

00:08:58.060 He has done exactly that.

00:09:00.660 Remember, folks,

00:09:01.300 President Trump is correcting a

00:09:02.620 decades-long problem

00:09:05.160 with our economy.

00:09:08.020 He is not a man to be trifled, Will.

00:09:11.340 He will stay at the course.

00:09:13.740 And I really still continue

00:09:15.780 to believe in him

00:09:16.800 and believe this has been a long time

00:09:19.220 necessary

00:09:20.580 and that he's going to lead us

00:09:22.580 into a golden age of peace,

00:09:25.160 prosperity,

00:09:26.220 security,

00:09:27.380 justice,

00:09:28.020 and law and order.

00:09:30.400 The Supreme Court also

00:09:32.480 delivered an incredible victory

00:09:35.240 to President Trump yesterday

00:09:36.860 and upheld

00:09:37.720 the mass firing

00:09:39.540 of tens of thousands

00:09:41.060 of probationary federal employees

00:09:43.760 granting a request

00:09:44.680 for an emergency administrative stay

00:09:46.800 on a blatantly unconstitutional ruling

00:09:49.460 from a lower court

00:09:50.520 blocking the order of the firings.

00:09:53.960 The idea that the Supreme Court

00:09:55.560 or that a lower court, pardon me,

00:09:58.680 can suspend the executive power

00:10:02.740 of the presidency

00:10:03.760 is, well, unconstitutional.

00:10:06.080 The majority of the Supreme Court

00:10:08.060 ruled 72

00:10:08.960 that the plaintiffs,

00:10:10.560 nine non-profit organizations

00:10:12.920 who had sued

00:10:14.080 to reinstate the employees,

00:10:15.600 lacked standing to sue.

00:10:17.340 Even the liberal justice,

00:10:19.660 Elena Kagan,

00:10:20.800 ruled for the Trump administration.

00:10:23.040 The legal battle here

00:10:24.760 stems from the termination

00:10:26.180 of an estimated 1,600

00:10:28.080 probationary federal employees

00:10:31.080 prompting a wave of lawsuits

00:10:33.700 from Democrat-led states

00:10:36.580 and former workers.

00:10:38.820 Justice Department lawyers

00:10:39.780 have warned that

00:10:40.700 forcing the government

00:10:42.060 to rehire these employees

00:10:43.420 would create chaos

00:10:44.580 across federal agencies.

00:10:46.540 They also maintained

00:10:47.620 that the firings

00:10:48.340 were tied to poor performance

00:10:50.680 and allegation dismissed

00:10:52.680 employees strongly disputed.

00:10:55.080 Now, this is the second major win

00:10:57.520 for the Supreme Court

00:10:59.020 that the Supreme Court

00:11:00.600 has handed

00:11:01.120 the Trump administration,

00:11:02.200 actually.

00:11:03.100 On Monday,

00:11:03.940 the Supreme Court

00:11:04.760 granted President Trump's request

00:11:06.500 to vacate a lower court's ruling,

00:11:09.460 barring the administration

00:11:10.900 from deporting

00:11:12.200 Venezuelan nationals

00:11:13.500 under the Aliens' Enemies Act,

00:11:16.280 including alleged members

00:11:18.060 of the Tren de Agua gang.

00:11:21.440 In other words,

00:11:22.100 we had a federal judge

00:11:23.720 in D.C.,

00:11:24.760 Judge Jed Boasberg,

00:11:26.680 the same judge,

00:11:27.500 by the way,

00:11:28.200 who allowed

00:11:29.020 the FISA courts

00:11:30.480 to illegally spy

00:11:31.740 on Donald Trump's

00:11:32.940 presidential campaign,

00:11:35.100 the same judge

00:11:35.840 who showed up

00:11:36.680 minus his robe

00:11:38.040 for Donald Trump's

00:11:39.180 indictment

00:11:39.940 by Special Counsel

00:11:41.940 Jack Mueller

00:11:42.920 until the court

00:11:44.660 decided that Mr.,

00:11:46.100 pardon me,

00:11:46.540 Jack Smith,

00:11:47.500 until the court decided

00:11:48.760 that Mr. Smith's appointment

00:11:50.020 was in itself

00:11:51.080 unconstitutional.

00:11:53.020 It's because Mr. Smith

00:11:54.100 had never been confirmed

00:11:55.900 by the U.S. Senate,

00:11:57.840 and there is no law

00:11:58.840 creating his position,

00:12:00.960 even though Merrick Garland

00:12:02.360 gave him sweeping

00:12:03.640 prosecutorial powers.

00:12:07.700 While the Supreme Court

00:12:09.480 ruled five to four

00:12:10.700 to grant the administration's

00:12:12.080 request to lift

00:12:13.420 the blatantly

00:12:13.980 unconstitutional stay,

00:12:16.720 Judge Amy Coney Barrett

00:12:19.440 ruled with the other 0.91

00:12:20.720 three liberal women

00:12:21.700 on the court

00:12:22.280 to block

00:12:23.360 President Trump's

00:12:24.220 deportation 0.66

00:12:25.140 of criminal illegal aliens.

00:12:27.360 Think how different

00:12:28.480 history would be

00:12:29.520 if President Donald Trump

00:12:31.140 had listened to me

00:12:32.020 when I suggested

00:12:32.880 that he not appoint

00:12:34.120 Amy Coney Barrett

00:12:36.000 to the court,

00:12:37.120 but instead appoint

00:12:38.320 Judge Andrew Napolitano.

00:12:41.940 Even Chief Justice Roberts

00:12:43.660 recognized the obvious

00:12:45.000 constitutionality

00:12:46.200 of President Trump's actions

00:12:47.460 and the incredible overreach

00:12:49.040 of the leftist activist

00:12:51.540 Judge Boesberg.

00:12:54.420 Big, big news

00:12:56.320 out of Texas.

00:12:58.000 Texas Attorney General

00:12:59.280 Ken Paxton

00:13:00.000 announced he's running

00:13:01.200 for the Senate

00:13:01.720 against incumbent

00:13:02.580 John Cornyn.

00:13:04.260 The Texas Attorney General

00:13:05.980 Paxton says

00:13:06.800 he's in the race,

00:13:07.860 often called

00:13:08.560 a Republican

00:13:10.000 in name only

00:13:10.760 or RINO.

00:13:11.740 Cornyn has held

00:13:13.100 the U.S. Senate seat

00:13:14.000 from Texas

00:13:14.540 since 2002

00:13:15.640 while Paxton

00:13:16.280 has been active

00:13:17.480 in Texas politics

00:13:18.540 since he ascended

00:13:19.380 to the Attorney General's

00:13:20.460 office in 2015.

00:13:23.160 In his announcement

00:13:24.200 Paxton said

00:13:25.100 the state needs

00:13:25.960 a new senator

00:13:26.740 to stand up

00:13:27.760 for Republican values.

00:13:30.460 He announced

00:13:31.180 he was running

00:13:31.720 for the U.S. Senate.

00:13:32.640 This is going to be

00:13:33.260 one of the hottest races

00:13:35.600 in the country.

00:13:36.540 We're going to be

00:13:37.040 following it here

00:13:37.840 extensively

00:13:38.420 in the Stone Zone.

00:13:40.720 Cornyn is running

00:13:41.980 for his fifth,

00:13:43.360 six-year term.

00:13:45.560 If ever there was

00:13:46.240 an argument

00:13:46.780 for term limits,

00:13:48.480 well, it's right there

00:13:49.380 with John Cornyn

00:13:50.280 in Texas.

00:13:51.500 If you're just tuning in,

00:13:52.740 this is the Stone Zone

00:13:54.240 on the Red Apple

00:13:56.600 Audio Networks.

00:13:58.100 And whatever you do,

00:13:58.880 don't touch that dial

00:14:00.020 because we'll be

00:14:01.040 right back.

00:14:01.820 This is the Stone Zone

00:14:04.020 with Roger Stone.

00:14:06.320 The Stone Zone.

00:14:13.360 If you're looking

00:14:15.200 to create,

00:14:16.020 grow,

00:14:16.380 and sustain

00:14:17.000 your wealth,

00:14:17.920 download and subscribe

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00:14:20.940 at BeBullish.com

00:14:22.780 with Bob,

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00:14:24.160 and Chris Payne.

00:14:25.200 It's your podcast

00:14:26.020 for market insights,

00:14:27.200 money tips,

00:14:27.780 and real talk

00:14:28.700 on the economy.

00:14:29.480 Download and subscribe

00:14:30.780 at BeBullish.com

00:14:32.800 This is the Stone Zone

00:14:45.260 with Roger Stone.

00:14:46.740 They went after

00:14:47.520 a guy named Roger Stone

00:14:49.420 who's sitting in the office.

00:14:50.700 And I'll say this

00:14:51.360 in front of Roger,

00:14:52.140 he's no baby.

00:14:53.100 And right now,

00:14:53.760 he's cleaner than

00:14:54.600 anybody in this place.

00:14:56.700 Now,

00:14:57.280 they treated him

00:14:57.980 very unfairly.

00:14:58.940 Now,

00:14:59.960 get in the zone.

00:15:01.120 It's the Stone Zone.

00:15:03.140 Here's Roger Stone.

00:15:06.460 And we're back

00:15:07.900 in the zone.

00:15:08.820 Remember when

00:15:09.800 Governor Ronald Reagan

00:15:11.380 was running for president

00:15:12.520 and he told us

00:15:13.580 that machine control

00:15:15.120 of the Panama Canal

00:15:16.200 would be an egregious

00:15:17.480 mistake

00:15:17.900 to the United States?

00:15:19.700 Reagan said,

00:15:20.880 we built it,

00:15:22.680 we paid for it,

00:15:23.640 and it's ours.

00:15:25.280 Unfortunately,

00:15:26.280 President Gerald Ford

00:15:28.480 furthered the effort

00:15:30.560 to sell the Panama Canal

00:15:32.260 for the princely dollar,

00:15:34.820 although it was under

00:15:35.700 President Jimmy Carter

00:15:37.400 that the deal

00:15:38.100 was finally consummated.

00:15:39.580 Now,

00:15:40.240 Secretary of Defense

00:15:41.380 Pete Hegseth,

00:15:42.900 recognizing that

00:15:43.880 the Panama Canal

00:15:44.720 has fallen under

00:15:45.640 the control

00:15:46.240 of the communist Chinese,

00:15:48.660 said that the U.S.

00:15:49.960 will take back

00:15:50.560 the Panama Canal

00:15:51.500 from China's influence

00:15:52.760 as Washington

00:15:53.620 seeks to reassort

00:15:55.080 control over

00:15:55.920 this major trade route.

00:15:57.900 This is not just

00:15:58.660 a question

00:15:59.100 of commercial trade.

00:16:01.000 It is also

00:16:01.620 a security issue.

00:16:03.960 Otherwise,

00:16:04.500 of course,

00:16:05.540 military or commercial

00:16:07.460 vehicles would have

00:16:08.320 to go all the way

00:16:09.180 around the continent

00:16:10.800 to get to the other ocean.

00:16:13.480 The United States

00:16:14.200 of America

00:16:14.720 will not allow

00:16:15.680 communist China

00:16:16.520 or any other country

00:16:17.880 to threaten

00:16:18.460 the canal's operations

00:16:19.620 or integrity,

00:16:21.160 Hegseth said.

00:16:21.960 To this end,

00:16:22.580 the United States

00:16:23.200 and Panama

00:16:23.780 have done more

00:16:25.020 in recent weeks

00:16:25.880 to strengthen

00:16:26.440 our defense

00:16:27.100 and security

00:16:27.660 cooperation

00:16:28.300 than we've done

00:16:29.100 in decades.

00:16:31.040 China did not 0.99

00:16:32.100 build this canal.

00:16:33.660 China does not 1.00

00:16:34.580 operate this canal

00:16:35.720 and China will not 0.65

00:16:36.800 weaponize the canal.

00:16:38.560 Together,

00:16:39.140 we will take back

00:16:40.080 the canal

00:16:40.520 from China's influence,

00:16:42.160 said Secretary of Defense

00:16:43.720 Pete Hegseth.

00:16:45.700 Panama withdrew

00:16:47.020 from its 2017

00:16:48.340 Belt and Road

00:16:49.520 Initiative agreements

00:16:50.420 with the Chinese

00:16:51.140 earlier this year.

00:16:52.500 That was a signal

00:16:53.260 that Panama 0.99

00:16:53.860 had chosen sides

00:16:55.200 and they were

00:16:55.760 going with the

00:16:56.260 United States

00:16:56.920 and the Trump

00:16:58.060 administration

00:16:58.720 in this geopolitical

00:17:00.620 spat.

00:17:01.980 Today,

00:17:02.880 Hegseth,

00:17:03.760 who I think

00:17:05.840 is doing a great job,

00:17:07.480 will be said

00:17:08.240 that we will be

00:17:08.860 signing a joint

00:17:09.580 declaration

00:17:10.180 with the Minister

00:17:10.940 of Canal Affairs

00:17:13.080 on the security

00:17:13.980 and operations

00:17:14.520 of the Panama Canal,

00:17:15.500 which is a framework

00:17:16.640 for U.S. warships

00:17:18.440 and auxiliary ships

00:17:19.760 to sail first

00:17:20.560 and free

00:17:21.400 through the Panama Canal.

00:17:25.160 In the meantime,

00:17:26.920 the IRS

00:17:27.880 has decided

00:17:28.660 that they will

00:17:29.420 provide illegal

00:17:30.440 immigrants data

00:17:31.300 to ICE

00:17:32.100 under a new agreement.

00:17:34.040 The IRS

00:17:34.800 reached this historic

00:17:36.240 agreement

00:17:36.680 with the Department

00:17:37.380 of Homeland Security

00:17:38.240 to share

00:17:38.740 the personal information

00:17:39.760 of illegal immigrants 0.94

00:17:41.760 who have

00:17:42.380 filed tax returns.

00:17:46.760 So,

00:17:47.260 Donald Trump

00:17:47.940 is winning.

00:17:48.700 I, for one,

00:17:49.260 am not yet

00:17:49.940 tired of winning.

00:17:51.280 I think he's going

00:17:51.860 to keep on winning.

00:17:53.540 Coming up next,

00:17:54.520 I'll be joined

00:17:55.180 by Barry Habib.

00:17:56.660 He is the chief

00:17:57.500 executive officer

00:17:58.420 of MBS Highways.

00:18:00.620 He's an American

00:18:01.420 entrepreneur

00:18:02.020 and a frequent

00:18:03.740 source

00:18:05.480 in the media

00:18:06.720 on the economy,

00:18:07.660 but he's much

00:18:08.360 more than that.

00:18:09.800 He is widely

00:18:10.760 viewed as the

00:18:11.720 single most knowledgeable

00:18:12.780 person in the country

00:18:13.880 when it comes to

00:18:14.900 mortgages

00:18:15.680 and housing,

00:18:16.880 but in truth,

00:18:18.560 he is an economic

00:18:20.040 guru

00:18:20.900 and he's going

00:18:22.840 to tell us

00:18:23.580 what the president's

00:18:24.720 larger game plan is

00:18:26.180 and why he believes

00:18:27.400 that it's going

00:18:28.820 to work.

00:18:29.620 So,

00:18:29.980 if you're tuned in

00:18:30.780 to the Stone Zone

00:18:32.100 here on the

00:18:33.280 Red Apple Audio Networks,

00:18:35.300 you're going to want

00:18:35.920 to hear Barry Habib.

00:18:37.660 Whatever you do,

00:18:38.800 don't go away

00:18:39.660 because we'll be

00:18:40.360 all right.

00:18:40.820 This is the Stone Zone

00:19:03.040 with Roger Stone.

00:19:04.560 They went after a guy

00:19:05.700 named Roger Stone

00:19:07.240 who's sitting in the office.

00:19:08.500 And I'll say this

00:19:09.160 in front of Roger,

00:19:09.900 he's no baby.

00:19:10.900 And right now,

00:19:11.560 he's cleaner than

00:19:12.400 anybody in this place.

00:19:14.480 Now,

00:19:15.080 they treated him

00:19:15.780 very unfairly.

00:19:17.080 Now,

00:19:17.760 get him a zone.

00:19:18.920 It's the Stone Zone.

00:19:20.960 Here's Roger Stone.

00:19:24.580 And you're back

00:19:25.960 in the Stone Zone.

00:19:27.560 Joining us now,

00:19:28.620 Barry Habib.

00:19:29.620 He is the chief

00:19:30.440 executive officer

00:19:31.440 of MBS Highway.

00:19:33.600 He's an American

00:19:34.440 entrepreneur

00:19:35.240 and the frequent

00:19:36.580 media source

00:19:37.520 when it comes

00:19:38.060 to his expertise

00:19:38.840 on mortgages

00:19:39.800 and the housing market.

00:19:42.340 But I call him

00:19:44.040 an economic guru

00:19:45.480 because he is

00:19:47.200 so much more

00:19:48.240 than an expert

00:19:48.840 on housing and mortgage.

00:19:49.860 He is a finger

00:19:51.300 on the pulse

00:19:52.220 of the economy

00:19:53.120 and how it really works.

00:19:54.440 And what I love

00:19:55.460 about Barry

00:19:56.080 is he's able

00:19:56.800 to make complicated

00:19:57.800 things understandable

00:19:59.100 to the average citizen.

00:20:00.380 So,

00:20:01.280 Barry,

00:20:01.640 welcome back

00:20:02.620 into the Stone Zone.

00:20:04.540 Thanks, Roger.

00:20:05.460 It's always wonderful

00:20:06.460 to be with you.

00:20:07.960 So,

00:20:08.980 there's a lot

00:20:10.300 of disinformation

00:20:11.140 out there.

00:20:12.240 President Donald Trump

00:20:13.180 moving ahead

00:20:14.460 like the stalwart

00:20:16.200 that he is

00:20:16.900 on one of the prongs

00:20:18.780 of his plan

00:20:20.020 to revive

00:20:20.820 the American middle class

00:20:22.180 and return prosperity

00:20:23.440 and jobs

00:20:24.220 and opportunity

00:20:24.920 to the country.

00:20:26.160 President Trump

00:20:26.800 today announced

00:20:27.500 he is temporarily

00:20:28.200 lowering tariffs

00:20:29.240 on every nation

00:20:30.220 except for China

00:20:31.100 whose tariff

00:20:32.120 he is raising.

00:20:33.760 How do you expect

00:20:34.560 the American economy

00:20:35.420 will respond

00:20:36.160 to higher tariffs

00:20:37.440 on China?

00:20:39.540 Well,

00:20:40.160 if you go by

00:20:40.780 the stock market

00:20:41.660 as a gauge,

00:20:42.960 the stock market

00:20:44.720 really liked it.

00:20:45.660 We went from

00:20:46.220 a stock market

00:20:46.960 that was to the downside

00:20:48.400 to finishing the day

00:20:49.640 up on the Dow,

00:20:51.640 you know,

00:20:52.160 2,962 points.

00:20:54.660 That's one

00:20:55.940 of the biggest

00:20:56.620 turnarounds

00:20:58.000 and dollar

00:20:58.580 and point changes

00:20:59.920 that I can recall seeing.

00:21:01.500 So it's being

00:21:02.900 cheered on

00:21:03.560 by the marketplace,

00:21:05.420 I guess,

00:21:06.640 feeling that the economy

00:21:07.580 will do very well.

00:21:09.300 You know,

00:21:09.480 Roger,

00:21:09.820 these tariffs there,

00:21:10.920 we've been seeing

00:21:11.660 a lot of market movement

00:21:12.960 back and forth

00:21:13.800 as the headlines

00:21:14.540 come out.

00:21:15.860 It's creating

00:21:16.720 a lot of uncertainty.

00:21:18.300 And that's the main

00:21:19.040 thing right now

00:21:19.720 is just people

00:21:20.320 are uncertain

00:21:21.340 and the media

00:21:22.540 plays checkers

00:21:24.140 that they don't

00:21:24.800 play chess.

00:21:26.080 You know,

00:21:26.240 what I'd like to do

00:21:26.960 with you

00:21:27.240 is take a deeper

00:21:28.180 look at this stuff

00:21:29.300 and maybe

00:21:29.660 what could be

00:21:31.100 driving

00:21:31.600 some of the

00:21:33.160 reasons

00:21:35.980 and rationale

00:21:36.920 as to

00:21:37.780 how these tariffs

00:21:39.100 have been implemented.

00:21:40.360 Okay,

00:21:40.820 well,

00:21:41.740 so first off,

00:21:42.920 when we take a look

00:21:44.300 at tariffs,

00:21:45.260 why are we doing this?

00:21:46.640 I think

00:21:47.300 many people

00:21:48.220 will agree

00:21:48.800 that the path

00:21:50.180 we were on

00:21:50.760 was unsustainable.

00:21:52.140 to have the

00:21:53.280 large amount

00:21:54.080 of debts

00:21:54.620 that we have,

00:21:55.700 the large deficit

00:21:56.700 that we have

00:21:57.380 over $2 trillion

00:21:58.580 and $30 trillion

00:22:00.420 plus in debt

00:22:02.300 greater than

00:22:04.020 our GDP,

00:22:04.960 more than 100%

00:22:05.860 of GDP,

00:22:06.980 these things

00:22:07.560 don't lead

00:22:08.180 to good outcomes.

00:22:10.580 And we could

00:22:11.600 have made changes,

00:22:12.640 but those days

00:22:13.540 are gone.

00:22:14.500 The Biden

00:22:14.960 administration,

00:22:15.900 they put us

00:22:16.880 in a pretty big hole.

00:22:18.880 Now,

00:22:19.520 it's unfortunate

00:22:20.660 that we're here,

00:22:21.380 but the key

00:22:22.500 is how do we

00:22:23.300 fix it?

00:22:24.280 So what are

00:22:25.000 our options?

00:22:26.360 Option one,

00:22:27.740 can we cut

00:22:28.240 spending enough?

00:22:29.080 Well,

00:22:29.560 when you think

00:22:30.380 about the things

00:22:31.260 that are kind

00:22:32.180 of must-spends,

00:22:33.660 like you have

00:22:34.160 to spend

00:22:34.560 on military,

00:22:35.940 the interest

00:22:36.540 on the debt,

00:22:37.860 Social Security,

00:22:39.240 Medicare,

00:22:39.600 Medicaid,

00:22:40.020 when you take

00:22:40.880 that,

00:22:41.220 it's really

00:22:41.900 the lion's share

00:22:42.960 of what we spend.

00:22:44.680 The amount

00:22:45.100 that's left

00:22:45.560 for discretionary

00:22:46.440 spending,

00:22:47.260 while it is sizable,

00:22:49.280 it's just,

00:22:49.980 you can't cut

00:22:50.660 that much out

00:22:51.520 of it

00:22:51.820 to narrow

00:22:52.600 the gap.

00:22:53.560 So,

00:22:53.980 okay,

00:22:54.180 what else

00:22:54.520 can you do?

00:22:54.940 You can raise

00:22:55.440 taxes,

00:22:56.580 but the top

00:22:57.440 10% are

00:22:58.340 literally keeping

00:22:59.400 our economy

00:23:00.200 going right now.

00:23:01.220 They represent

00:23:01.760 about 80%

00:23:02.740 of economic

00:23:03.440 activity,

00:23:04.400 and therefore,

00:23:05.280 if you tax

00:23:06.100 them,

00:23:06.400 you will send

00:23:06.900 the economy

00:23:07.400 into a tailspin.

00:23:10.020 However,

00:23:11.120 it's,

00:23:12.020 even if you

00:23:12.400 took 100%

00:23:13.420 of what they

00:23:13.860 earned,

00:23:14.580 you still

00:23:15.320 wouldn't close

00:23:16.080 the gap

00:23:16.620 on what the

00:23:17.880 deficit is.

00:23:18.440 The deficit

00:23:18.900 is just

00:23:19.340 that big.

00:23:20.460 So,

00:23:20.780 what else

00:23:21.080 can you do?

00:23:22.400 Well,

00:23:22.920 a VAC tax,

00:23:23.800 like many people

00:23:24.520 have in other

00:23:25.240 countries,

00:23:26.020 if you've

00:23:26.340 traveled,

00:23:26.780 you've experienced

00:23:27.320 that called

00:23:28.180 value-added tax,

00:23:29.800 it's a tax

00:23:30.440 on consumption.

00:23:31.380 When you buy

00:23:31.860 something,

00:23:32.320 it's like a

00:23:32.760 sales tax,

00:23:33.420 but to a

00:23:33.820 greater extent.

00:23:35.540 Well,

00:23:36.440 we don't,

00:23:37.120 I don't think

00:23:37.700 at this point

00:23:38.200 in time

00:23:38.520 have the appetite

00:23:39.240 for it,

00:23:39.980 but this is a

00:23:40.640 form of that

00:23:41.520 on imported

00:23:42.400 goods.

00:23:43.340 So,

00:23:44.020 in trying

00:23:44.780 to do this,

00:23:45.360 you're trying

00:23:45.700 to raise

00:23:46.260 revenue and

00:23:47.040 take in

00:23:47.500 revenue to

00:23:48.280 reduce the

00:23:49.000 deficit and

00:23:50.260 you can do

00:23:50.660 it in a

00:23:51.020 sizable

00:23:51.440 manner without

00:23:52.460 having to

00:23:53.020 go to

00:23:53.260 extremes on

00:23:54.020 taxing people

00:23:55.040 to hurt the

00:23:55.520 economy or

00:23:56.700 cutting vital

00:23:58.000 things that

00:23:58.820 are things

00:24:00.620 that we depend

00:24:01.200 upon or

00:24:01.680 cutting the

00:24:02.080 military tooth

00:24:02.840 in.

00:24:03.100 So,

00:24:03.800 it's

00:24:04.360 understandable.

00:24:05.580 However,

00:24:05.920 it does have

00:24:06.320 a downside

00:24:06.940 because what

00:24:08.460 happens now

00:24:09.000 is imported

00:24:09.700 goods could

00:24:11.180 wind up costing

00:24:12.000 more,

00:24:12.260 but people

00:24:12.600 don't understand

00:24:13.640 how it works.

00:24:14.400 They see the

00:24:14.980 headlines,

00:24:15.340 they hear

00:24:16.040 all this 1.00

00:24:16.380 crap and 1.00

00:24:16.800 the negative 1.00

00:24:17.240 media bias

00:24:17.960 and anything

00:24:19.900 that Trump

00:24:20.340 does,

00:24:20.960 they want to

00:24:21.380 criticize.

00:24:21.840 So,

00:24:21.980 it's easy

00:24:22.320 to take

00:24:22.660 pot shots,

00:24:23.340 but let's

00:24:23.840 take a little

00:24:24.260 bit of a

00:24:24.640 dive where

00:24:25.160 people don't

00:24:25.720 understand it.

00:24:26.720 So,

00:24:27.020 who pays

00:24:27.560 this?

00:24:28.540 It is not

00:24:29.260 paid by the

00:24:29.800 country.

00:24:30.120 So,

00:24:30.240 if you put

00:24:30.500 an import

00:24:31.960 tax on

00:24:32.440 Vietnam,

00:24:33.700 Vietnam

00:24:33.940 doesn't pay

00:24:34.520 it.

00:24:35.200 So,

00:24:35.420 when they

00:24:35.680 send something

00:24:36.300 to us,

00:24:36.840 it is the

00:24:37.340 importer.

00:24:38.620 XYZ

00:24:39.060 company wants

00:24:39.900 to buy

00:24:40.320 these shirts

00:24:41.280 or clothing

00:24:41.900 or dress

00:24:42.480 or pants

00:24:43.120 from Vietnam.

00:24:44.080 They buy

00:24:44.680 it.

00:24:44.840 They pay

00:24:45.540 the tax.

00:24:46.060 It's like

00:24:46.340 when you go

00:24:46.780 to a store

00:24:47.260 and you pay

00:24:47.740 a sales tax.

00:24:48.680 So,

00:24:48.860 that's what

00:24:49.260 happens.

00:24:49.680 You make

00:24:50.060 that tax

00:24:50.660 payment from

00:24:51.500 the importer.

00:24:52.120 Now,

00:24:52.280 the importer

00:24:52.700 has a decision

00:24:53.300 to make.

00:24:54.040 That item

00:24:54.520 that used

00:24:54.860 to cost

00:24:55.240 $100,

00:24:56.480 now might

00:24:56.940 cost them,

00:24:57.400 let's say

00:24:57.620 it's a 20%

00:24:58.320 tax,

00:24:58.840 now costs

00:24:59.300 them $120.

00:24:59.860 do they

00:25:01.060 have the

00:25:01.580 power to

00:25:02.740 go ahead

00:25:03.320 and send

00:25:04.880 that $20

00:25:05.520 increase

00:25:06.400 on to

00:25:07.480 their wholesaler

00:25:08.580 or whomever

00:25:09.160 they are

00:25:09.500 selling it

00:25:10.120 to.

00:25:11.040 Maybe

00:25:11.360 they do,

00:25:12.260 but when

00:25:12.560 they do

00:25:12.860 now,

00:25:13.080 that wholesaler

00:25:13.760 makes a

00:25:14.440 profit on

00:25:15.040 top of

00:25:15.420 it to

00:25:15.640 the retail.

00:25:16.600 Maybe,

00:25:16.980 I don't

00:25:17.140 know,

00:25:17.320 that's

00:25:17.580 20%.

00:25:18.560 And then

00:25:19.360 on top

00:25:19.940 of that,

00:25:20.320 the retailer

00:25:20.900 might have

00:25:21.440 100%

00:25:22.180 markup

00:25:22.640 when they

00:25:23.040 sell it.

00:25:24.020 So,

00:25:24.640 the wholesaler's

00:25:25.700 profit,

00:25:26.280 the retailer's

00:25:27.020 profit are

00:25:28.040 not tariffed.

00:25:29.140 They don't

00:25:29.680 get tariffed.

00:25:30.560 So,

00:25:30.760 even if

00:25:31.060 there's a

00:25:31.360 20% tariff,

00:25:32.720 the consumer

00:25:33.400 may only

00:25:34.260 see something

00:25:34.880 closer to

00:25:35.500 5%.

00:25:36.220 And I'm not

00:25:36.640 saying 5%

00:25:37.400 is insignificant,

00:25:38.700 but it's

00:25:39.140 important to

00:25:39.720 understand this

00:25:41.100 as to how

00:25:41.740 much it

00:25:42.060 should be.

00:25:42.660 Is it

00:25:43.060 inflationary?

00:25:44.280 Only one

00:25:44.940 time.

00:25:45.500 It's not like

00:25:46.060 normal inflation,

00:25:47.080 which is

00:25:47.560 persistent.

00:25:48.140 It's a

00:25:48.400 one-time

00:25:48.880 price adjustment.

00:25:50.140 So,

00:25:50.380 now that we

00:25:50.700 understand this,

00:25:51.940 what's the

00:25:52.380 idea here?

00:25:53.540 We did an

00:25:54.240 analysis,

00:25:54.940 Roger,

00:25:55.180 I sent it

00:25:55.680 to you on

00:25:56.060 every country's

00:25:57.120 percentage of

00:25:58.620 GDP that

00:25:59.960 what they

00:26:00.520 export to

00:26:01.120 us.

00:26:01.360 And it is

00:26:01.880 very significant.

00:26:03.800 So,

00:26:04.080 that's why a

00:26:04.540 lot of

00:26:04.780 countries want

00:26:05.800 to come and

00:26:06.540 make deals

00:26:07.000 with us.

00:26:07.380 Now,

00:26:07.540 it takes a

00:26:08.040 little time

00:26:08.580 for them to

00:26:09.140 feel the

00:26:09.540 pain,

00:26:10.140 which is

00:26:10.820 why what

00:26:11.860 President Trump

00:26:12.460 is trying to

00:26:13.020 do is play

00:26:14.220 tests here and

00:26:15.960 not checkers.

00:26:17.200 Now,

00:26:17.400 China is a 1.00

00:26:18.180 different story.

00:26:19.320 And we are

00:26:20.220 seeing an

00:26:20.680 escalation in

00:26:21.500 trade war come

00:26:22.300 back and forth

00:26:22.960 between the

00:26:23.520 U.S.

00:26:23.820 and China.

00:26:24.700 The one

00:26:25.360 major card

00:26:26.300 that could 0.68

00:26:26.800 be played

00:26:27.340 by the

00:26:27.760 U.S.

00:26:28.120 is what

00:26:29.000 if you

00:26:29.280 delisted

00:26:30.000 Chinese stocks

00:26:31.140 and robbed

00:26:31.780 them of

00:26:32.380 the ability

00:26:33.160 to have

00:26:34.960 capital

00:26:35.600 for their

00:26:36.580 companies in

00:26:37.260 China that 0.98

00:26:38.180 comes from

00:26:38.640 the U.S.?

00:26:39.320 That could 0.68

00:26:39.860 be a major

00:26:40.580 card.

00:26:41.160 Scott

00:26:41.420 Besson,

00:26:42.400 when asked

00:26:43.060 about this,

00:26:43.880 said everything

00:26:44.720 is on the

00:26:45.680 table.

00:26:46.560 So,

00:26:46.920 that just

00:26:47.480 kind of gives

00:26:47.960 you an 0.64

00:26:48.260 outline of

00:26:49.200 where we

00:26:49.640 are and

00:26:50.280 what the

00:26:50.580 mindset is.

00:26:51.320 And obviously,

00:26:52.460 undertone of

00:26:53.080 this is,

00:26:53.560 of course,

00:26:53.800 we want a

00:26:54.240 level and

00:26:54.820 more fair

00:26:55.900 playing field

00:26:56.920 of trade

00:26:57.620 because President

00:26:59.080 Trump,

00:26:59.520 and rightfully

00:27:00.040 so,

00:27:00.940 feels like

00:27:01.380 there has

00:27:01.940 not been

00:27:02.540 fairness in

00:27:03.840 trade.

00:27:04.480 So,

00:27:04.960 you could

00:27:05.360 say,

00:27:05.680 hey,

00:27:05.840 look,

00:27:06.020 I don't

00:27:06.240 want to

00:27:06.460 rock the

00:27:06.860 boat.

00:27:07.600 Even though

00:27:08.020 I'm getting 0.96

00:27:08.340 screwed here, 0.98

00:27:09.580 I don't want 0.98

00:27:10.180 to go through

00:27:10.580 any pain.

00:27:11.340 But then you're

00:27:11.840 on that

00:27:12.100 unsustainable

00:27:12.800 path.

00:27:13.300 Or you could

00:27:13.600 say,

00:27:13.880 let's make

00:27:14.140 this more

00:27:14.500 fair.

00:27:15.180 Let's raise

00:27:15.640 some revenue.

00:27:16.720 It means we

00:27:17.200 go under a

00:27:17.680 little bit of

00:27:18.080 pain here

00:27:18.660 initially,

00:27:19.380 but longer

00:27:20.240 term it's

00:27:20.740 fixed.

00:27:23.080 It just

00:27:23.440 gets worse

00:27:24.040 and then

00:27:24.400 you could

00:27:24.620 have a

00:27:24.860 crisis.

00:27:26.220 I watched

00:27:27.360 Secretary

00:27:28.480 Besant did

00:27:29.540 a press

00:27:30.100 stand-up

00:27:30.560 outside the

00:27:31.360 White House

00:27:31.820 not long

00:27:33.220 ago,

00:27:33.520 a couple

00:27:33.740 hours ago.

00:27:34.520 I am

00:27:35.080 really in

00:27:37.240 awe at

00:27:38.020 this guy's

00:27:39.000 skills as

00:27:39.900 a communicator.

00:27:41.020 I think he

00:27:41.560 is a very

00:27:42.920 reassuring

00:27:44.000 voice of

00:27:44.980 calm.

00:27:46.140 I mean,

00:27:46.420 I know him

00:27:47.280 and I know

00:27:47.580 him to be

00:27:47.960 an outside

00:27:48.380 the box

00:27:48.980 thinker who

00:27:49.760 is completely

00:27:50.360 loyal to the

00:27:51.160 president and

00:27:51.840 completely

00:27:52.220 committed

00:27:52.720 to this

00:27:53.720 plan.

00:27:54.360 The New

00:27:54.660 Republic ran

00:27:56.220 a totally

00:27:56.900 baseless article

00:27:57.800 the other

00:27:58.160 day saying

00:27:58.700 he was so

00:27:59.300 upset by

00:27:59.840 the president's

00:28:00.500 economic plan

00:28:01.380 that he was

00:28:02.120 thinking of

00:28:02.540 resigning.

00:28:03.340 I spoke to

00:28:04.020 Besant and

00:28:04.380 myself Sunday

00:28:05.040 night,

00:28:06.260 whole cloth,

00:28:07.140 nothing to it

00:28:07.780 whatsoever.

00:28:08.540 He is deeply

00:28:09.060 committed to

00:28:09.560 the president's

00:28:10.100 plan and he

00:28:11.140 gave me a

00:28:11.560 number of

00:28:11.820 reasons why

00:28:12.380 he thought it

00:28:14.560 would work in

00:28:15.680 the long

00:28:16.080 term.

00:28:16.640 But you're

00:28:17.260 right,

00:28:18.020 Trump is

00:28:18.740 playing the

00:28:19.720 long game.

00:28:20.480 Now, I

00:28:20.780 also saw

00:28:21.680 Secretary of

00:28:22.280 Commerce

00:28:22.600 Lutnick on

00:28:23.220 the Sunday

00:28:23.620 shows last

00:28:24.220 Sunday.

00:28:25.280 My takeaway

00:28:26.140 was not

00:28:27.180 candidly as

00:28:28.120 positive.

00:28:29.620 He was

00:28:30.480 entertaining,

00:28:31.340 but he

00:28:32.240 didn't have

00:28:32.840 the reassuring

00:28:33.980 calm and

00:28:35.620 confidence.

00:28:37.020 And actually,

00:28:38.560 Besson's more

00:28:39.180 like you,

00:28:39.760 Barry, he

00:28:40.180 takes complicated

00:28:41.420 issues and

00:28:42.680 he makes them

00:28:43.460 understandable to

00:28:44.680 the average

00:28:45.240 consumer and

00:28:46.060 the average

00:28:46.400 American.

00:28:46.820 Besson's more

00:28:48.760 important.

00:28:49.160 That's a

00:28:49.760 very important

00:28:51.280 key and I

00:28:52.460 had the

00:28:52.800 pleasure of

00:28:53.480 spending about

00:28:54.060 15 minutes

00:28:54.780 one-on-one

00:28:55.500 with Scott

00:28:56.340 Besson in

00:28:57.720 no small

00:28:58.260 part thanks to

00:28:59.420 the fact that

00:29:00.380 he knows that

00:29:01.640 you and I

00:29:02.080 have a

00:29:02.400 friendship and

00:29:03.520 his high

00:29:04.260 regard and

00:29:04.780 respect for

00:29:05.320 you allowed

00:29:06.420 him to give

00:29:06.940 me the time

00:29:07.600 to spend

00:29:08.340 with him.

00:29:08.760 I found

00:29:09.160 him to be

00:29:09.780 absolutely

00:29:10.440 brilliant and

00:29:12.080 the best

00:29:12.740 treasury

00:29:13.160 secretary that

00:29:14.720 I have ever

00:29:15.620 seen in the

00:29:16.360 United States

00:29:17.060 that has an

00:29:18.080 understanding of

00:29:18.780 the housing

00:29:19.180 market, the

00:29:19.780 mortgage market,

00:29:21.020 the spreads

00:29:21.480 between 30-year

00:29:22.640 fixed-rate

00:29:22.980 mortgages and

00:29:23.640 treasuries, how

00:29:25.180 to handle the

00:29:25.900 treasury market

00:29:26.600 issuance, which

00:29:27.580 is very important.

00:29:28.780 He has a desire

00:29:29.440 to bring long-term

00:29:30.320 yields down and

00:29:31.580 I think he'll be

00:29:32.200 very, very

00:29:32.700 successful in

00:29:33.580 doing so.

00:29:34.720 I was in

00:29:37.180 awe at his

00:29:38.180 vast knowledge

00:29:39.680 of not just

00:29:40.840 the things that

00:29:41.320 normal treasury

00:29:41.920 secretaries are

00:29:42.720 looking at, but

00:29:43.940 even in other

00:29:46.020 areas.

00:29:46.740 The guy, his

00:29:47.660 history is one

00:29:48.860 of brilliance as

00:29:49.740 a fund manager.

00:29:51.560 He worked with

00:29:52.260 Stanley Drunkenmiller.

00:29:54.420 He is someone

00:29:56.060 who is extremely,

00:29:59.140 extremely experienced

00:30:00.680 and knowledgeable

00:30:01.400 and not just

00:30:02.940 having experience

00:30:03.680 but having

00:30:04.060 successful

00:30:04.560 experience.

00:30:05.760 You know, I had

00:30:08.140 a conversation

00:30:08.780 with him months

00:30:09.760 ago about the

00:30:10.960 housing market

00:30:11.660 and the fact

00:30:12.360 that the lack

00:30:13.600 of affordable

00:30:14.120 housing is a

00:30:15.160 gigantic problem

00:30:16.880 in this country.

00:30:17.980 Robert F.

00:30:18.480 Kennedy Jr., I

00:30:19.320 think, serves

00:30:20.040 credit for really

00:30:20.900 raising this

00:30:22.500 during the most

00:30:23.420 recent presidential

00:30:24.300 campaign and I

00:30:25.880 hadn't realized it.

00:30:28.000 The extent to which

00:30:29.120 it's a problem, it's

00:30:29.860 not just a problem

00:30:30.600 in any one section

00:30:31.600 of the country,

00:30:32.580 it's a problem

00:30:33.320 across the country.

00:30:35.020 I think that Bill

00:30:36.460 Pulte, who the

00:30:37.660 president appointed

00:30:38.580 to the Federal

00:30:39.780 Home Finance

00:30:41.100 Administration,

00:30:42.160 like Besson,

00:30:43.120 another superstar,

00:30:44.400 a guy who comes 0.99

00:30:45.240 from the housing

00:30:45.940 industry, Pulte Homes,

00:30:47.580 people may be

00:30:48.160 familiar with the

00:30:48.780 name, one of the

00:30:49.280 largest home

00:30:49.840 builders in the

00:30:50.360 country.

00:30:51.220 Trump has an

00:30:52.380 all-star team

00:30:53.600 around him,

00:30:55.020 particularly when it

00:30:56.380 comes to the

00:30:57.280 economy.

00:30:57.840 Now, the stock

00:30:58.440 market shot up

00:30:59.240 today, as you

00:31:00.300 say, to a record

00:31:01.640 high or a record

00:31:02.760 gain, do you

00:31:04.900 think, this may

00:31:06.760 be an impossible

00:31:07.300 question to answer,

00:31:08.560 what do you expect

00:31:09.060 the stock market

00:31:09.720 to do tomorrow?

00:31:12.300 I'm a little leery

00:31:13.160 that these gains

00:31:14.040 continue.

00:31:14.620 I think there

00:31:15.020 could be some

00:31:15.600 profit-taking that

00:31:16.560 happens.

00:31:17.120 You know, the last

00:31:18.120 couple of days, I

00:31:18.920 know you get our

00:31:19.520 commentary, we had

00:31:20.900 thought that the

00:31:22.020 stock market would

00:31:22.800 have a turning point

00:31:23.540 two days ago.

00:31:24.360 It did, and

00:31:24.760 yesterday, with the

00:31:26.980 stock market up, I

00:31:28.000 did not feel it

00:31:28.780 would hold its

00:31:29.260 gains.

00:31:29.580 It was up 1,500

00:31:30.480 points, and our

00:31:31.200 commentary was that

00:31:32.060 it would close to

00:31:32.720 the downside, and

00:31:33.960 it did.

00:31:35.020 And then this

00:31:35.420 morning, quite

00:31:35.960 honestly, what I

00:31:36.660 said is, I have

00:31:37.440 no freaking clue

00:31:38.180 what it's going to

00:31:38.640 do today, because

00:31:40.320 there's just a lot

00:31:41.920 of uncertainty out

00:31:43.120 there, and we

00:31:44.080 don't know which

00:31:44.980 way the headlines

00:31:45.640 are going to go.

00:31:46.620 But I think the

00:31:47.480 stock market at

00:31:48.560 these levels had

00:31:49.760 such a strong

00:31:50.920 close that it's

00:31:53.180 quite possible that

00:31:54.360 in the morning we

00:31:55.000 see it open, but

00:31:56.240 I don't know if

00:31:57.240 there is conviction,

00:31:58.920 Roger, that it's

00:31:59.580 for this to

00:32:00.320 continue throughout

00:32:01.680 the day.

00:32:02.820 I'm looking at my

00:32:04.180 charts here.

00:32:05.100 I think that we

00:32:05.680 could see a little

00:32:06.520 bit more of a move

00:32:07.540 up in the morning,

00:32:08.580 but it would not

00:32:09.720 surprise me to see

00:32:10.800 some of those gains

00:32:11.660 relinquished.

00:32:12.320 And then you have a

00:32:13.480 lot of trading that

00:32:14.220 says, okay, well,

00:32:14.960 before we see another

00:32:15.880 down day, I want to

00:32:17.280 get out.

00:32:17.620 And that's why you've

00:32:18.100 seen so much

00:32:18.820 momentum.

00:32:19.380 It happens so

00:32:20.140 quickly, because now

00:32:21.040 with all the program

00:32:21.780 trading, as soon as

00:32:23.100 you start to see some

00:32:23.900 profits gone, then it

00:32:25.180 triggers selling and 0.93

00:32:25.980 selling and selling

00:32:26.560 gets more selling.

00:32:27.600 So I would not be

00:32:29.020 surprised to see an

00:32:30.520 upside open tomorrow,

00:32:31.780 but I think that

00:32:33.600 there's a reasonably

00:32:34.800 good chance that a

00:32:36.480 lot of experienced

00:32:37.500 traders will use that

00:32:38.760 as an exit period and

00:32:40.600 get out while there's

00:32:41.780 still so much

00:32:42.400 uncertainty.

00:32:42.900 And therefore, why

00:32:44.940 don't they hold the

00:32:45.540 gains?

00:32:46.100 In my book published

00:32:48.100 several years ago,

00:32:49.280 Stone's Rules, with

00:32:50.900 a forward by my good

00:32:52.080 friend Tucker Carlson,

00:32:53.100 I had two rules.

00:32:54.420 One was what goes up

00:32:55.860 must come down.

00:32:57.180 The other one, you'll

00:32:58.240 like even more.

00:32:59.100 Whoever talks first 1.00

00:33:00.120 loses.

00:33:01.500 And so it is, it's

00:33:03.200 going to be interesting

00:33:03.680 to see what happens.

00:33:04.740 What do you expect the

00:33:05.540 European Union to do?

00:33:08.640 Will they make a

00:33:09.400 substantial concession

00:33:10.360 to the United States in

00:33:11.300 light of the president's

00:33:12.300 strategy of isolating

00:33:13.660 China, or is the EU

00:33:15.240 going to work with

00:33:16.080 China against American 0.99

00:33:17.860 interests?

00:33:18.380 We have about two

00:33:18.960 minutes here, and then

00:33:20.100 we'll go to commercial

00:33:20.900 break and return.

00:33:22.380 Well, as you know, the

00:33:23.420 EU had just today

00:33:26.120 voted to ratify their

00:33:28.780 plan to come up with

00:33:30.540 a plan which would

00:33:31.480 have some retaliatory

00:33:33.940 tariffs against the U.S.

00:33:35.500 But in light of what

00:33:37.600 happened today, where we

00:33:38.720 dropped it to just the

00:33:39.680 10 percent baseline, I

00:33:41.340 would expect Europe

00:33:42.200 to back off.

00:33:43.000 I don't think Europe 0.84

00:33:43.680 wants to be in a

00:33:46.080 situation where they're

00:33:47.200 at odds with the U.S.

00:33:49.520 Whether or not they

00:33:50.480 trust the U.S.

00:33:51.960 completely or not, I

00:33:53.040 think they trust the U.S.

00:33:53.980 more than they trust

00:33:54.960 China.

00:33:56.460 And therefore, I don't

00:33:57.900 see them trying to

00:33:59.920 form alliances with

00:34:01.060 China against the U.S. 0.93

00:34:02.720 I think that this

00:34:04.060 move by President Trump

00:34:06.040 today to reduce the

00:34:07.120 tariffs to the 10 percent

00:34:07.940 baseline will bring the

00:34:10.060 European Union closer to

00:34:11.300 trying to cut deals with

00:34:12.380 us in fairness rather than

00:34:13.600 move towards China.

00:34:14.360 folks, if you're just

00:34:16.260 tuning in, this is the

00:34:18.100 Stone Zone on the Red

00:34:19.520 Apple Audio Networks, and

00:34:21.320 we're talking to Barry

00:34:23.100 Habib.

00:34:24.040 I call him an economic

00:34:25.700 guru because to say that

00:34:28.160 he's just an expert on

00:34:29.360 housings and mortgage would

00:34:30.640 greatly understate his

00:34:32.140 knowledge and his wisdom.

00:34:33.660 We're glad to have him

00:34:34.600 because, well, as I think

00:34:36.520 it was James Carville, my

00:34:38.020 Democrat counterpart, once

00:34:39.540 said, it's the economy, 1.00

00:34:41.140 stupid, and indeed it is 1.00

00:34:43.080 the economy, here's what 1.00

00:34:45.240 we know.

00:34:45.720 What we were doing under

00:34:46.620 Joe Biden and Barack

00:34:48.100 Obama was not working,

00:34:51.120 did not work.

00:34:52.240 We reversed that trend

00:34:53.260 when Trump was president

00:34:54.160 in his first term, then

00:34:55.640 Biden returned us to the

00:34:57.120 policies of Obama and the

00:34:58.800 economy suffered,

00:35:00.120 particularly the middle

00:35:01.420 class working family and

00:35:03.280 taxpayers.

00:35:04.400 Donald Trump has changed

00:35:05.720 the political dynamic.

00:35:07.580 The Republican Party is now

00:35:08.700 the party.

00:35:09.540 of working people, of the

00:35:11.280 middle class, no longer 0.99

00:35:12.400 the party of the elites,

00:35:13.520 no longer the party of

00:35:14.440 Wall Street, no longer

00:35:15.700 the party of the

00:35:16.440 millionaires and

00:35:17.240 billionaires.

00:35:17.980 We'll be right back with

00:35:19.240 more of Barry Habib, so

00:35:20.700 whatever you do, don't

00:35:21.940 touch that dial.

00:35:23.100 This is the Stone Zone

00:35:24.860 with Roger Stone.

00:35:39.540 This is the Stone Zone.

00:35:47.700 Now, get in the zone. 0.94

00:35:49.900 It's the Stone Zone.

00:35:51.940 Here's Roger Stone.

00:35:53.700 And we're back in the Stone Zone

00:35:58.620 here on the Red Apple Audio

00:36:00.760 Networks.

00:36:01.440 We're talking to Barry Habib,

00:36:04.160 the chief executive officer of

00:36:06.040 MBS Highway.

00:36:07.200 We just call him economic guru.

00:36:08.720 Here's a question for you,

00:36:10.180 Barry, just a little off topic.

00:36:11.840 But how do you feel about

00:36:14.800 acquiring precious metals like

00:36:16.760 gold and silver in a tumultuous

00:36:19.900 economic time like this?

00:36:21.980 Roger, we've talked about

00:36:23.860 this several times.

00:36:25.040 And, you know, back about

00:36:25.920 $800 in price ago in gold,

00:36:29.820 you know, bullish and every

00:36:30.720 time I've been giving you the

00:36:31.700 same thing.

00:36:32.160 And here we are at these

00:36:34.280 extraordinarily higher levels.

00:36:35.980 So our thoughts on gold, I

00:36:38.540 know you agree, have been on

00:36:40.160 and people that have

00:36:41.100 heeded that advice have done

00:36:42.620 exceedingly well in there.

00:36:44.800 I do think that in times of

00:36:46.680 uncertainty, gold is a place

00:36:48.700 that you can certainly hide.

00:36:49.980 Because here's here's what

00:36:51.960 would happen.

00:36:52.980 The way the mechanics of the

00:36:54.680 market, I just want to try and

00:36:56.140 explain this to people.

00:36:57.860 So we had some unusual

00:36:59.340 circumstances.

00:37:00.060 You saw stock prices decline,

00:37:03.240 you know, this morning as

00:37:04.840 well.

00:37:05.280 You saw at the same time,

00:37:07.720 trade, which means bond prices

00:37:09.280 were selling off, stocks were

00:37:10.820 selling off, and our dollar was

00:37:12.320 weakening.

00:37:12.900 So what was happening?

00:37:14.160 What did people decide to do?

00:37:15.920 They didn't put it in Bitcoin.

00:37:17.620 Where did they go?

00:37:18.260 They went to probably some in

00:37:20.160 cash, but gold was soaring.

00:37:23.220 So a lot of people put their

00:37:25.460 money in gold.

00:37:27.060 So during times of volatility

00:37:28.700 and uncertainty, gold seems to

00:37:30.600 be the place to be.

00:37:32.360 And it was very interesting

00:37:34.000 because as stocks rallied and

00:37:36.460 came back and the bond market

00:37:38.160 came back, so yields declines,

00:37:39.760 so people bought bonds, they

00:37:41.320 really bought stocks.

00:37:42.780 But what did they do?

00:37:44.540 They did not sell gold to do so.

00:37:47.100 They took it out of cash, which

00:37:48.780 means that they said, hey, gold

00:37:50.620 is a place I'm hiding if things

00:37:52.840 get bad.

00:37:53.800 But even though that's money I'm

00:37:55.280 hiding, I'm not parking it

00:37:57.040 there.

00:37:57.420 I'm keeping it there because I'm

00:37:59.000 comfortable with gold.

00:38:00.160 All this to try and answer your

00:38:01.660 question and say, I think gold

00:38:03.240 has more room to run, Roger,

00:38:05.000 because I don't think that this

00:38:06.240 move up in gold is temporary

00:38:07.820 because if it were, gold would

00:38:09.920 have lost its gains when the stock

00:38:11.860 market rallied back and people

00:38:13.180 said, OK, I'm going to buy stocks

00:38:14.700 with both fists, let me sell gold

00:38:16.820 to do so.

00:38:17.480 No, they took it out of cash or

00:38:18.800 they took it on margin.

00:38:19.960 And that's why.

00:38:21.300 Now, by the way, Roger, here's

00:38:22.320 another thing that's very

00:38:23.340 important about answering your

00:38:24.380 question on gold.

00:38:25.700 When the stock market takes a

00:38:27.420 sudden drop like it did, it's not

00:38:29.280 that it declined, but that it

00:38:30.900 declined suddenly.

00:38:32.620 That triggers margin calls.

00:38:34.740 So broker dealers say, hey, you

00:38:36.180 have this on margin.

00:38:37.140 You've now come underneath your

00:38:38.360 margin requirements.

00:38:39.520 You've got to pay up and you've

00:38:40.500 got to pay up now.

00:38:41.760 So how do you raise cash?

00:38:43.360 One of the ways that they would

00:38:44.780 do it is by selling other

00:38:46.180 assets.

00:38:46.700 The old saying is you don't

00:38:48.160 sell what you want.

00:38:49.740 You sell what you can.

00:38:51.280 And what you can sell are things

00:38:52.560 that are value like from the

00:38:53.620 bond market or gold.

00:38:55.240 They did not choose to sell

00:38:57.840 gold.

00:38:58.640 They sold bonds.

00:38:59.980 They took it out in cash.

00:39:01.420 So what this tells you is that

00:39:03.140 gold is someplace where people

00:39:04.720 are investing money and they're

00:39:06.000 not letting it go.

00:39:07.400 So that's my my

00:39:09.120 reasoning as to why I think

00:39:10.820 gold will continue to do well

00:39:12.580 for us, Roger.

00:39:13.680 All right.

00:39:14.060 I appreciate it.

00:39:14.840 I think we are unfortunately

00:39:16.040 out of time.

00:39:16.820 I want to thank my guest,

00:39:18.440 Barry Habib, the chief

00:39:20.900 executive officer of MBS

00:39:22.380 Highway.

00:39:22.900 But we just call him the guru,

00:39:24.840 Barry, the economic guru.

00:39:27.000 Barry, thank you so much for

00:39:28.160 joining us today in the Stone

00:39:29.300 Zone.

00:39:29.620 And thanks.

00:39:30.160 And folks, until we meet

00:39:31.240 again, God bless you

00:39:32.820 and Godspeed.

The StoneZONE with Roger Stone - April 10, 2025

The Stone Zone ｜ 04-09-25

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