Trump claims to have had a phone call with China's President Xi Jinping. China denies it, and the mainstream media is quick to point the finger at the Chinese government. What does this mean for the stock market and the rest of the world?
00:00:50.540Right, but that doesn't mean that they've spoken multiple times today.
00:00:54.940Where is the Time magazine one that he says they spoke?
00:00:57.600Because that is just a quote from the actual article.
00:01:00.020Trump claimed in a Time magazine interview that Chinese President Xi called him to discuss trade negotiations, stating he's called.
00:01:08.860And I don't think that's a sign of weakness on his behalf.
00:01:11.860Despite the Chinese foreign minister's assertion that reports of such talks were fake news and that China and the U.S. are not having any consolation or negotiation on tariffs.
00:01:23.820Trump initiated the trade conflict with a 34 percent tariff on China, later raised it to 145 and ended the de minimis commerce loophole, prompting China to claim it refuses negotiations for a more favorable U.S. deal.
00:01:39.540Trump expressed confidence in reaching deal, saying, oh, there's a number at which they feel comfortable, but argued that China's trade surplus, which he called a trade deficit of $2 trillion, I considered that a loss is unsustainable and added you can't let them make a trillion dollars from us.
00:01:57.140So he's still staying on that with the trade deficit with them in China in regards to this.
00:02:02.260Tom, how much how much of this saying that China has reached out is trying to get the market out there to talk?
00:02:09.480And how much of that is a good move, bad move?
00:02:13.540Well, they're trying to make sentiment statements.
00:02:16.100And if the president is making this as a sentiment statement, in other words, you put a float out there to the market, you saw the way the stock market reacted a week ago when J.D. Vance had a very productive two days in India.
00:03:54.960On this side, if there were conversations and he kind of stepped on that, that's kind of, that's a risky thing to do.
00:04:01.780Rob, can you play the clip of Gordon Chen saying what he's saying about what he thinks is going on here?
00:04:07.900Gordon, first of all, why would China say that they haven't had any talks with the United States if, in fact, President Trump is telling the truth?
00:04:18.420I think it's because Xi Jinping has staked his legitimacy on having surpassed the U.S.
00:04:23.940And so it's very difficult for him to then say, oh, we're bowing to pressure from President Trump and we're going to talk about tariffs and other things.
00:04:34.120But in general, since he's become China's ruler in late 2012, he has made the hostile, made the political system hostile, where only the most belligerent answers are considered to be acceptable.
00:04:46.000So he is a very, very thin line which he can walk right now.
00:04:50.560Okay, so if they spoke, Trump would, if this was me, I'd say, hey, Xi, when I'm asked if we've spoken, I'm going to tell the market that we spoke.
00:05:42.260So there's only three scenarios in this place of what happened.
00:05:45.520And the only fourth scenario I can think about is the call happened and the question was never asked that if I'm asked that you and I have spoken, are you okay with me leaking it?
00:05:57.700Or it's just a miscommunication in the person who denied that the call occurred, didn't know that it occurred, or it occurred under the circumstances and Trump is trying to frame it.
00:07:58.300Well, listen, I can't speak on yes or no, but all I know is that from what I've been hearing, from what I've been seeing, China is hurting really bad.
00:08:08.220You think they're going to promote that their economy shit, all the houses that they built, you know, the sentiment, the unemployment for the youth.
00:08:16.580I mean, I wouldn't know if they talked or not, but I think because I know we're going to get into that with the tariffs and the stuff that's happening right now, stuff is starting to shift towards us and it's happening.
00:08:35.100You remember, like, there was a similar-ish incident where Trudeau was leaking the contents of his conversations with Xi to the media and then Xi publicly admonished him.
00:08:44.260And he says it's inappropriate that you leak our confidential.
00:08:46.440So, the way it's done was not to shame Trump for having leaked it.
00:08:49.900To me, it seems as though he's got a safe face among his people so that he doesn't look weak and they both get to look strong.
00:09:03.500Some of the people are having a hard time with their finances, with their small businesses, with their careers, with their families, stress period, anxiety, any of that stuff.
00:09:11.140I said, I think we need something to make people's day.
00:09:13.980And I think our audience wants to participate in that.
00:09:18.620We sat there and said, we want to come up.
00:09:21.560Since our audience, a lot of business owners, executives, small business owners, entrepreneurs, we want to send, we want to give you the opportunity to send a package to anybody you know that's going through challenging time with a heartfelt message to make their day.
00:09:36.260So, today, we're launching this new initiative called When Life Gives You Lemons, what do we do?