Posts

As Many as 25,000 U.S. Stores Could Shut Down This Year, Crippling Malls, and Obliterating Last Year’s Record

/0 Comments/in , /by

As many as 25,000 stores could close in the US this year, according to a new report from Coresight Research.

Coresight, which had previously forecasted around 15,000 closings for the year, updated its estimate on Tuesday in light of the “escalating impact of the coronavirus pandemic,” it said.

Of the 20,000 to 25,000 closings it anticipates, around 55% to 60% of these stores will be located in malls, and “apparel retail and department stores look set to feature prominently,” it said.

Retailers across the US have been reeling from the impact of the pandemic, which has kept many stores closed since mid-March. So far, nearly 4,000 stores have closed in 2020 as legacy names such as Victoria’s Secret, Gap, and JCPenney have been forced to trim their store fleets. . .

Its 20,000 to 25,000 estimate would smash last year’s record number of store closings where more than 9,300 locations closed and many retailers filed for bankruptcy. (Read more from “As Many as 25,000 U.S. Stores Could Shut Down This Year, Crippling Malls, and Obliterating Last Year’s Record” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE

U.S. Debt Exceeds Size of Economy for First Time Since World War II; Triple Digit Inflation on Horizon; But Mnuchin Says U.S. Economy to Reopen Next Month and Then ‘Really Bounce Back’

/0 Comments/in , /by

By Washington Examiner. The U.S. deficit is expected to be $3.7 trillion in 2020, according to the Congressional Budget Office, driving the federal debt to exceed the size of the economy for the first time since World War II.

The deteriorating outlook is a result of the economic havoc being wreaked by the coronavirus and the federal response. Spending has been driven up by $2.7 trillion due to economic relief legislation, and the dramatic drop in business activity is expected to gut revenue collections.

Going into the crisis, the United States was already on shaky ground fiscally, with the CBO projecting annual $1 trillion deficits as far as the eye could see given the long-term crisis facing entitlements as the ranks of retirees grow and healthcare costs rise. (Read more from “U.S. Debt Exceeds Size of Economy for First Time Since World War II” HERE)

______________________________________________

National Review: Friedman Model Predicts Triple Digit Inflation

By Martin Hutchinson. In the six weeks to April 6, M2 money supply has increased by 7.7 percent, an annual compounded rate of 90.4 percent. That reflects all the money the Fed has pumped into the system; the statistics are not wrong. But at that rate of money creation, if Friedman is right, we should get inflation close to triple digits, 18 to 24 months from now. You can’t produce money at that rate without the dollar going the way of the continental, the assignat, the reichsmark or the 1946 Hungarian pengo, exchanged for the new forint at a conversion rate of 1029 to 1. . .

Here we have around 20 million people who have been forcibly prevented from working by the government and the coronavirus. At least in the short term, there is no way to put them back to work and make them productive. The output they would have produced is lost forever; a restaurant meal not served in April cannot be served in August. Hence the extra money inserted into the economy has no goods to buy. That is the position we had in World War II — “too much money chasing too few goods.” It caused inflation.

[Before the Coronavirus panic,] global supply chains were optimized on the “just in time” principle. That meant if any one supplier in the chain stopped production, the entire output had to be halted until alternative suppliers could be found. So production will not be able to restart unless all the suppliers are in place. Some key workers will be missing, some key factories will have gone out of business.

If you think of the world economy as a gigantic machine, it will no longer be operating smoothly; horrible grinding noises will emit from its innards, and smoke will billow everywhere. Inevitably, that will cause increased costs; it has to. Then there are the costs of shortening the global supply chains and perhaps re-domesticating some production. Entirely without economic theory, simply from observing how the world economy will operate for the rest of 2020 and probably 2021, you come to an inevitable conclusion: There will be inflation. (Read more about triple digit inflation HERE)

______________________________________________

U.S. Economy to Reopen in May and June and Then ‘Really Bounce Back,’ Mnuchin Says, but Others Are Thinking Fall

By Market Watch. The U.S. economy will start to recover in the third quarter after a period of reopening in May and June, Treasury Secretary Steven Mnuchin said Sunday.

“As we begin to reopen the economy in May and June, you’re going to see the economy really bounce back in July, August and September,” Mnuchin said in an interview on Fox News Sunday.

The trillions of dollars in government spending “will have a significant impact” to spur growth, he said. “As businesses begin to open, you’re going to see the demand side of the economy rebound.”

Mnuchin noted his forecast is based on assumptions about how the pandemic proceeds. Reopening will have to be balanced with increased testing, he said.

Many experts don’t think there will be a quick recovery, often referred to as a V-shaped rebound. (Read more from “U.S. Economy to Reopen in May and June and Then ‘Really Bounce Back,’ Mnuchin Says, but Others Are Thinking Fall” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE

Democrats Hope to Tank the Economy and Take Down Trump; President Trump Pushes to Reopen U.S.

/0 Comments/in , /by

By WND. The new unemployment numbers are out, and there’s really no way to butter this biscuit, folks. Unless America’s economic engine is restarted, we will be plunged into a Great Depression. . .

And the only way to stop this economic death spiral is for every freedom-loving citizen to embrace their constitutional rights, take to the streets and demand that their state leaders reopen this nation. . .

It’s hard to fathom what our country has been through over the past few months. The nation was shut down based on a virus death-count that thankfully proved not to be accurate. . .

The mainstream media did their part by fomenting national hysteria as part of a sick and twisted narrative that the nation was in the throes of a dystopian apocalyptic reality show.

On Thursday President Trump unveiled his plan to open up American again – a plan that has strong support across the country. And while there are glimmers of hope that a number of the states will soon be reopening for business, many Democratic leaders are balking. (Read more from “Democrats Hope to Tank the Economy and Take Down Trump” HERE)

_______________________________________________

Trump Pushes to Reopen U.S. Economy

By NPR. President Trump on Friday said states are well equipped to adequately test for COVID-19, a position that has been contradicted by state leaders and health care experts.

The Trump administration this week released a plan to begin reopening the U.S. economy, even as experts warn that the country has a long way to go before it can responsibly ease restrictions.

The White House on Thursday issued guidelines to states outlining a three-tiered approach to relaxing social distancing measures.

But while Trump boasted of the country’s comeback from the coronavirus’ grip, health care authorities say that rushing to reopen the economy without adequate measures like widespread testing could have disastrous implications on containing the virus.

“There have been some very partisan voices in the media who have spread false and misleading information about our testing capacity,” Trump said during the Friday briefing. (Read more from “Trump Pushes to Reopen U.S. Economy” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE

Treasury Secretary Says U.S. Could Be Open for Business in May

/0 Comments/in , /by

Treasury Secretary Steven Mnuchin said Thursday that he believed it was possible that the U.S. could open back up next month.

“I do, Jim,” Mnuchin said after CNBC’s Jim Cramer asked about reopening the economy in May. The comments came during an interview on CNBC’s “Squawk on the Street.” . . .

The Treasury secretary said that the administration was doing “everything necessary that American companies and American workers can be open for business and that they have the liquidity that they need to operate their business in the interim.” . . .

President Donald Trump said last month that he hoped that Americans would be able to pack churches by Easter, though the administration later released guidelines calling for social distancing to continue at least through the end of April. Trump declined to provide a date for a reopening during a White House briefing on Wednesday.

Trump is already stepping up efforts to reopen the economy. The president is planning to create a second task force designed to focus on the response to the economic devastation that COVID-19 has wrought, a senior administration official told NBC News. (Read more from “Treasury Secretary Says U.S. Could Be Open for Business in May” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE

Report: Only India, China Will Survive Coronavirus, Rest of the Entire World Economy Will Go Into Recession

/1 Comment/in , /by

With two-thirds of the world’s population living in developing countries facing unprecedented economic damage from the COVID-19 crisis, the UN is calling for a USD 2.5 trillion rescue package for these nations.

The world economy will go into recession this year with a predicted loss of trillions of dollars of global income due to the coronavirus pandemic, spelling serious trouble for developing countries with the likely exception of India and China, according to a latest UN trade report.

With two-thirds of the world’s population living in developing countries facing unprecedented economic damage from the COVID-19 crisis, the UN is calling for a USD 2.5 trillion rescue package for these nations.

According to the new analysis from United Nations Conference on Trade and Development (UNCTAD), the UN trade and development body titled ‘The COVID-19 Shock to Developing Countries: Towards a ‘whatever it takes’ programme for the two-thirds of the world’s population being left behind’, commodity-rich exporting countries will face a USD 2 trillion to USD 3 trillion drop in investments from overseas in the next two years.

The UNCTAD said that in recent days, advanced economies and China have put together massive government packages which, according to the Group of 20 leading economies (G20), will extend a USD 5 trillion lifeline to their economies. (Read more from “Report: Only India, China Will Survive Coronavirus, Rest of the Entire World Economy Will Go Into Recession” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE

Corrupt Republicans Use Insider Knowledge, Dump Stocks Before Market Crash

/0 Comments/in , , /by

Editor’s note: Although the big offenders were Republican — likely acting on insider information — it was revealed after the below stories broke that Democratic Senator Dianne Feinstein did the same. Restoring Liberty has long maintained that corruption is endemic to both parties.

Third GOP Senator Caught Selling Equity Before the Market Crash — This Time up to $25 Million Worth

By Raw Story. On Monday, March 2nd, the Dow Jones Industrial Average set its biggest-ever point gain.

But Sen. Ron Johnson (R-WI) was massively selling.

Johnson, who has a net worth estimated at over $36 million, made a major transaction.

The exact amount is unknown, as ethics forms only require disclosure in broad ranges, but Johnson reported selling over $5 million that day — and potentially up to $25 million. . .

Sen. Richard Burr (R-NC) and Sen. Kelly Loeffler (R-GA) reported dumping stock before market crash. (Read more from “Third GOP Senator Caught Selling Equity Before the Market Crash — This Time up to $25 Million Worth” HERE)

_______________________________________________

AOC Calls on Senate Intelligence Chairman Richard Burr to Resign for Stock Sell-Off Ahead of Pandemic

By NBC News. Rep. Alexandria Ocasio-Cortez, D-N.Y., is calling on Sen. Richard Burr, R-N.C., to resign after reports Thursday that the powerful Intelligence Committee chairman had privately warned well-connected donors of the dire impacts of the coronavirus pandemic last month while selling off up to $1.6 million of his own stocks.

Ocasio-Cortez said on Twitter that as chairman of the Intelligence Committee, Burr “got private briefings about Coronavirus weeks ago. Burr knew how bad it would be. He told the truth to his wealthy donors, while assuring the public that we were fine. THEN he sold off $1.6 million in stock before the fall. He needs to resign.”

Ocasio-Cortez was referring to two separate reports about Burr’s activities in February.

ProPublica reported that Burr — who co-wrote an op-ed for Fox News in early February saying “the United States today is better prepared than ever before to face emerging public health threats, like the coronavirus” — sold off the stock around mid-February, about a week before the market started to drop because of coronavirus concerns.

That included selling off up to $150,000 worth of shares of Wyndham Hotels and Resorts, which has lost two-thirds of its value, ProPublica reported. He also sold off up to $100,000 of shares of another hotel chain, Extended Stay America. (Read more from “AOC Calls on Senate Intelligence Chairman Richard Burr to Resign for Stock Sell-Off Ahead of Pandemic” HERE)

_______________________________________________

Tucker Carlson Calls on Sen. Richard Burr to Resign Over Stock Dumping Reports

By Newsweek. Intelligence Committee Chairman Senator Richard Burr of North Carolina sold over $1 million in stocks, including stocks in two lodging and hospitality chains, in February before the coronavirus pandemic sent the markets into a tailspin according to Thursday reports.

Whether Burr’s decision to sell the stocks was influenced by information about the coronavirus has yet to be confirmed, but Fox News host Tucker Carlson said Thursday that Burr, co-author of a February op-ed piece which claimed that the U.S. was “better prepared than ever before to face emerging public health threats, like the coronavirus,” should resign from office and be placed on trial for insider trading.

“[Burr] had inside information about what could happen to our country, which is now happening,” Carlson said. “But he didn’t warn the public. He didn’t give a primetime address. Didn’t go on television to sound the alarm. He didn’t even disavow an op-ed he had written just ten days before claiming that America was, quote, ‘better prepared than ever for coronavirus.'”

“Instead, what did he do? He dumped his shares in hotel stocks so he wouldn’t lose money,” Carlson continued. “And then he stayed silent. Now, maybe there’s an honest explanation for what he did. If there is, he should share it with the rest of us immediately. Otherwise, he must resign from the Senate and face prosecution for insider trading.” (Read more from “Tucker Carlson Calls on Sen. Richard Burr to Resign Over Stock Dumping Reports” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE

Economists Say Black Swan Event Has Already Initiated Global Recession; Mnuchin Says Not so Fast (VIDEO)

/0 Comments/in , /by

By CNBC. Goldman Sachs’ economists declared the U.S. economy all but recession-proof at the dawning of 2020, but now it appears a coronavirus-induced recession may have begun just a few months later.

The analysis didn’t account for a “Black Swan,” a term for an improbable and unforeseen event [like the Wuhan Virus]. Instead, it explored the idea of a “Great Moderation,” which is characterized by low volatility, sustainable growth and muted inflation. . .

Economist Alan Blinder told CNBC’s “Squawk on the Street” on Wednesday that the U.S. was probably already in a recession as the coronavirus outbreak cancelled conferences, events and travel plans.

. . .In the end, most of the things investors were worried about did not trigger one of the biggest market crashes in Wall Street history or the economic pain that most assuredly will follow. It was an outbreak of a new virus that many thought would be contained to foreign lands — and this was truly a Black Swan.

“We are going into a global recession,” warns chief economic advisor at Allianz Mohamed El-Erian, who correctly called the bear market as it approached. “The economic damage is going to last.” (Read more from “Economists Say Black Swan Event Has Already Initiated Global Recession” HERE)

________________________________________________

Despite Forecasting Economic Slowdown, Mnuchin Says Coronavirus Won’t Cause Recession

By ABC News. Despite forecasting an economic slowdown, the president’s top economic adviser said on ABC’s “This Week” that he did not think the novel coronavirus pandemic would cause a recession.

Responding to ABC News Chief White House Correspondent Jonathan Karl on whether there will be a recession, Treasury Secretary Steven Mnuchin said, “I don’t think so. The real issue is not the economic situation today. … This is a unique situation. We are going to have a slowdown. Later in the year economic activity will pick up as we confront this virus.”

On Sunday, just days after negotiating a bipartisan coronavirus relief bill with House Democrats, he added, “The stock market is gonna go up, it’s gonna go down, we can’t focus on (it) every day.” (Read more from “Despite Forecasting Economic Slowdown, Mnuchin Says Coronavirus Won’t Cause Recession” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE

Democrats Aren’t Going to Like Trump’s New Job Growth and Unemployment Numbers

/0 Comments/in , /by

America’s strong job growth is surprising even the experts. They predicted that there would be 175,000 new jobs in February. Instead, the economy created 273,000 jobs and the unemployment rate fell to 3.5 percent.

What’s more, December and January’s job numbers were adjusted upward by 243,000. And if you can stand it, here’s more.

CNBC:

The previous two months’ estimates were revised higher by a total of 85,000. December moved up from 147,000 to 184,000, while January went from 225,000 to 273,000. Those revisions brought the three-month average up to a robust 243,000 while the average monthly gain in 2019 was 178,000.

But before you pop the champagne corks and celebrate Trump’s re-election, there are storm clouds on the horizon. It looks like we’re in for some rough weather.

“While it’s too early to see the impact of the coronavirus on the labor market, we can say the labor market was in a good place before the virus began to spread,” said Nick Bunker, economic research director at job placement firm Indeed. “But the next few months will be a test of just how resilient this labor market is.”

(Read more from “Democrats Aren’t Going to Like Trump’s New Job Growth and Unemployment Numbers” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE

2020 Democrats Are Biggest Losers From Trump Economic Boom

/0 Comments/in , /by

The Bureau of Labor Statistics on Friday added another pile of good news to the mountain of data showing that the contemporary economy is the strongest in generations. Not only did employers create a staggering net 225,000 jobs last month, crushing expectations, but the labor force participation rate has reached its highest point since the recovery began after the Great Recession.

The biggest losers of all the good economic news are the Democrats vying to unseat President Trump.

Naysayers will point to the unemployment rate ticking up by 0.1 percentage points from its half-century low, but the BLS report confirms what Trump argued at this year’s State of the Union: The economy is pulling the disaffected from the sidelines, creating more jobs with higher wages for all works, but disproportionately for those who need it the most. Economists have been debating whether such sustained job growth was even possible given our current low rate of unemployment.

As with all economies, the president only deserves a portion of the credit and a portion of the blame, but, three years into his administration, it’s clear that Trump is just as responsible for one of the longest bull markets and tightest labor markets in history, just as much as Barack Obama was for the slowest economic recovery in nearly a century.

What Trump described as a “blue-collar boom” is making it difficult for Democrats to run their campaigns on economic anxiety or to justify their massive spending proposals. (Read more from “2020 Democrats Are Biggest Losers From Trump Economic Boom” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE

United States-Mexico-Canada Agreement to Create 600,000 Jobs

/0 Comments/in , /by

By Fox Business. Energy Secretary Dan Brouillette said Wednesday he expects the United States-Mexico-Canada Agreement to boost the American workforce by creating about 600,000 jobs.

“You’re going to see more jobs all across the economy, in the automobile sector, in the agricultural sector and of course in the energy sector as well,” Brouillette said in an interview with FOX Business’ Maria Bartiromo. “We’re looking at approximately 600,000 jobs being created by this deal.” (Read more from “United States-Mexico-Canada Agreement to Create 600,000 Jobs” HERE)

______________________________________________________

USCMA Signed Into Law, Considered Victory for Trump Administration

By Central Illinois Proud. On Wednesday, President Trump signed the United States-Mexico-Canada Agreement into law.

The deal will replace the 1994 NAFTA agreement and is considered a big win for the White House.

“Today we are finally ending the NAFTA nightmare,” Trump said.

The President invited 400 guests to the White House lawn as he signed the USMCA into law.

He said that this is the “fairest” and most “balanced” trade agreement ever achieved. (Read more from “USCMA Signed Into Law, Considered Victory for Trump Administration” HERE)

Follow Joe Miller on Twitter HERE and Facebook HERE