tv Boom Bust RT March 15, 2021 10:30pm-11:01pm EDT
$1000.00 has been an incredible run for the digital currency even though as of monday it's fallen back to around $56000.00 so what continues to drive this incredible surge for big oil and will it come to an end anytime soon joining us now to discuss boom bust co-host and crypto analyst ben swan an editorial director with the american institute for economic research jeffrey tucker thank you both for being here it seems like about every other monday we're in the same position talking about the latest meteoric rise of bitcoin so ben what happened. and what happened over the weekend to drive the price so i. see it's kind of interesting so we you're absolutely right we're talking about this all the time now it seems like every single week there's a new high and it's not just a new high right it's 5 to 10 $1000.00 higher than we were before which is a pretty significant jump and watching kind of move through this meteoric pace there's a couple things happening what is institutional investment we've talked about this a lot over the last few weeks which is that we see institutional investors coming
in you know companies like tesla buying up $1500000000.00 micro strategies buying $1500000000.00 they keep placing orders it's remarkable master cards and it's getting into the space so all that seems to kind of drive this up what happened this weekend though might be a little bit different than that because typically as we're watching those numbers climb over and over and over again it has to do with kind of institutional investors buying in there are crypto analysts who are watching this especially security securities and exchange analysts who are watching this who are saying that this week and what we saw was somewhat different and what they're saying is that possibly this is just the movement of coins by whales moving them into different exchanges and wallets so that might have driven some of the prices well not new investors necessarily buy and then but the whales moving their their coins around and if that is the case then it could indicate that maybe some of that growth maybe has stalled. jeffery you know has been just mentioned we're seeing
a lot of big institutional investors making large purchases including micro strategy is making a 3rd round of purchases of bitcoin the question here is why is this so important and if institutional investors keep piling in are we going to continue to see this price rise. you know i'm feeling pretty pretty good about the firmness of all the gains we've seen over the last 6 months it's actually feels really different i think ben would agree with me there's something really different about this bull run as versus the past that seems it seems kind of sticky and it's i think it probably still has a lot of momentum to go and you know i talked to sources in the retail and of the coin today and he told me that that actually d.c. a big a mound of bind have become from regular people when the stimulus checks arrive so what's happening is that you know the stimulus the checks are kind of pathetic that i get you very far and people are paying their bills as is so they're going to become an a.t.m.
for shoving this money around just because they want to have this kind of perform really well that i want to miss out and it's a they have there's expectations going up i think there's another factor too that i think ben might agree over the last week we've seen a lot of analysts looking at the money supply and numbers and looking at the velocity figures and looking at productivity's prototypical numbers and concluding from the combination of all this that we might soon start seen a kind of an inflation gallop maybe not. inflationary thing terrible but something like we've probably not experienced in 40 years you know we're talking about like 56 maybe 7 percent inflation coming and if that's true what people need as a hedge and a looks like bitcoin because you cannot print them like you can u.s. dollars is going to serve as a really important inflation hedge so the more you have this inflation expectations out there the more people are getting interested in because and that also goes for central banks i might add jeffrey i guess i have
a question here it's kind of off topic here but when we talk about the communication about because i do the big question cynics not actually hold as much weight as they once did because all of those people kept saying well it's not real it's going to fall off it's obvious but like you said over these last 6 months it's been really an incredible gain so do they now hold as much weight in this market anymore. known factors. have become a bit of a joke on twitter. and say the same thing for 10 years how long can you keep saying that's a fake ponzi scheme you know it's at some point you've got to recognize this is the real deal that it really does work it is performing very well it's a new kind of asset class so we've never experienced before and so yeah you're right the incredulity is running becoming a star and to melt away and now bend over the weekend as the rally was taking place on musk was tweeting about dogecoin again why is that. iran must says every time that he talks about those it's a joke i agree with and i believe that that's true the problem is you know much i
think just for the sake of his own ego likes to move markets so it with any time he talks about it the price goes up it shoots up 10 percent 20 percent 100 percent 900 percent righted the tweet the latest tweet that he put up was basically saying the coin base should list those coins they're not going to but the reality is is that enjoys the ability to move markets but having said that i want to comment on the other thing that you say jeffrey about which is one of the cynics right the people who say big coin it's a ponzi scheme or it's junk and it will never hold value here's the reality the people like jeffrey and myself who have been talking about bitcoin long before because it was cool and because it was worth 100 bucks or to a court right and people thought it was a joke people like us have seen the value of it which is that the real joke the real ponzi scheme the real fake money is currency because it actually holds no value other than the power of basically
a military behind it that's the only real power the u.s. dollar has behind it and so when you when you begin to recognize that just because a government declares something as valuable that maybe it's not and you start to rethink that paradigm about what constitutes value and what is currency then you know your eyes are open and you think very differently i think that's what. we're seeing right now it was millions of people back in 27000 who got into big corn and then remember as a fill the 3000 it was like oh big queen is dead it's gone the truth is it wasn't dead the technology around it has only continued to grow and as i said on the show last week and i'll say it again the real value of the coin is not in the coins it's in the bit it's in the computing power 'd and the and the technology behind that is yet to be understood and fully appreciated and that's why the value of the coin will continue to rise and jettison i want to add on one last point here before we do go now you know big quake has a market cap of over $1.00 trillion dollars meanwhile a french parliament member has actually signed
a petition to amend the laws to enable the central bank of france to buy and hold because as well as other crypto currencies what does this mean for crypto if central banks were to actually hold it as an asset well i think it's very intriguing i didn't realize that the central bank was restricted to not only because and so that was a surprise to me most the central banks can hold anything as an asset literally anything i know that's pretty much true with what the fed. it's a great asset for central banks you know it's it's it's probably going to hold its value there's not going to be any new money creation unlike the fake dash prices that they make which you know we're on the verge of seeing a complete discrediting of monetary policy as we once knew it so because it's a pretty good bet for for for central banks at this point so i think that could actually drive the markets higher i mean there's any number of considerations that are going to make this thing stretch and
a 100000 and up probably you know before the middle of the year when final word would volatility be a problem if you were to have central banks holding crypto. well i don't think it would the central banks would prevent the volatility unless it can it was by manipulation of the market and that's never good for the market jeffrey said i didn't realize the central banks weren't allowed to hold big coin because they can hold anything it's something they're not allowed to pursue a it's that they refuse to acknowledge what bitcoin actually is the moment you begin to hold it as a central bank you are giving credence to this concept and remember when you give credence to big coin you've now given credence to many many other alternative coins and crypto currencies other than they coined to say that digital currencies crypto currencies and currencies created outside the purview of governments have value and that has been the hesitation boom bust co-host ben swan and jeffrey tucker from the american institute for economic research thank you so much for that expert analysis today.
and astra zeneca said sunday evening there is no link between its coben 1000 vaccine and recent deaths in europe due to blood clots of the pharma giant which developed the shot with x. for university said of the 17000000 people vaccinated with their drug in the e.u. in u.k. they have only been 15 cases of deep vein thrombosis and 22 pulmonary embolisms adding quote this is much lower than would be expected to occur naturally in a general population of this size it is similar cross other license koeppen 1000 vaccines a number of nations throughout europe have suspended use of the back scene due to these concerns the european medicines agency the block's drug regulator has previously said there is no clear correlation between the vaccine and the clotting issues. meanwhile reuters is reporting that the e.u. is considering holding talks with the maker of russia's sputnik vivax soon as the
bloc looks to bolstered efforts its efforts to vaccinate it's 450000000 citizens for more on this in the state of the overall vaccine roll out let's bring in our t. correspondent saya tablature star what do we know about this so brand 1st if you recall the russian made vaccines initially faced a lot of doubts and criticism and not just europe but also the u.s. after was made available before clinical tests were released however that narrative about wouldn't it really started to change after their trial data showed that it was 92 percent effective higher than the astra zeneca shot and johnson and johnson and closer to the. pfizer vaccine now here's why the russian made vax inspired navy is crucial for the e.u. right now 1st. astra zeneca problem which is actually 2 parts so even though the pharmaceutical company like you mentioned and w.h.o.
say there is no indication of a link between the vaccine and reports of blood clots at least 10 e.u. countries have so far fully suspended that astra zeneca vaccination then there's also a supply issue with astra zeneca initially favored them as a cheaper option compared to other vaccines so while the e.u. expected around $100000000.00 doses of the vaccine by the end of this month the pharma company was struggling to deliver even $40000000.00 gilliss now addition to the supply shortage the infection rate in the e.u. is now at its highest levels since the beginning of february with new variants being responsible for a much of the recent increase we're seeing right here so while the e.u. has approved the use of 4 vaccines. so far being able to add that as spud negri
can't come at a better time already right now hungary and slovakia are using the russian vaccine while a pharmaceutical plant near milan is set to become the 1st in the e.u. to produce russia's sputnik the vaccine now deals have also been reached with other companies in spain france and germany pending approval of the vaccine now russian authorities are right now saying they are ready to provide vaccines for a 50 a 1000000 europeans so that's very significant news brant. sorry moving to the united states how are we doing when it comes to cases here in the u.s. and how is the vaccine rollout goer. so right now covert infections in the us they're continuing to decline we've cases down 19 percent and that's the sound 31 percent hospitalisation 00 down 23 percent but white house chief medical adviser dr
anthony continues to warn state leaders against pulling back completely public health measures as always and there is always a risk of surge back up and in fact unfortunately that's exactly what we saw is happening in europe right now brad now even though the u.s. we're now administering more than 1500000 doses of the vaccine a day with about 11 percent of the american population being fully vaccinated of course there's always a possibility that things can turn in a different direction that we're not predicting with more variants entering the u.s. plus air travel last week at its highest level since the pandemic started with many younger people heading to spring break most with no social distancing or mask as we're seeing so there's always the possibility that travels could on knowingly bring back the virus back to the home states i'm talking about different variants that are a lot more can ages which is why health experts are begging americans to wear
a mask and avoid mistakes from the past that we saw that led to deadly surges but i want to end on a good news brand as president biden called on all states to open vaccine eligibility clump legally by may 1st so hopefully that would mean we'll reach some kind of herd immunity much quicker archie correspondent side 70 thank you so much for keeping us up to date. quick break but when we come back trade across the english channel has taken a major hit as the fall out for breakfast it has begun to set it straight ahead when to bring you all the details that's going to break the numbers at the close.
using the media and the binding ministry she has many clear and made known cyber attacks on russia this is a colossal mistake we tell you 1000000 cooling cycle is running the us government despite really in charge. debate is is it fair for transforming our plates to compete and women scatter chorus and sport. as a society we have decided to categorize sports based on sex i definitely need to do not think that it's fair for athletes step on porn as pie logical males to compete in the women's category tom come on why do we have gender or do you have
gender categories in sports because we do treat men and women differently. every single soul beat athletes we all have biological advantages over each other. are the thing means a lot to me and i think friends are the subjects you hear because i love to do it. and develop confidence and belief in myself and i've learned the value of hard work and dedication i'm gonna put on doubt. that these men say that they feel like a woman and they will not ever know what it's like to feel the loss of a baby her maybe biological free home of these that they will never face do they really think this is fair. i just don't believe it. move. join me
and that the users activity during this session may be visible to websites they visit and any 3rd party analytics or add services to visit it web sites use the company previously announced it would eliminate 3rd party cookies it's helped her ties there's track user activity across the web next year. trade between the united kingdom and the european union took a hit in january as breck's it was finally made official the u.k. exported $11300000000.00 worth of goods to the in january a 41 percent drop compared to december according to data from the office of national statistics the decline is similar if you compare it to january of 2020 now imports to britain from the bloc fell by 29 percent to $22600000000.00 in january compared to december overall the u.k.'s exports plunged by 19 percent with imports falling by 22 percent the largest decline since records began in 1997 british exports to 9 nations increased slightly for the month while exports fell by 8
percent so for more on this and what's moving markets money just bring in our savior n.z. c.e.o. of optimist l.l.c. actively always a pleasure to have you on the show. is this a trend we're going to see continue to see due to bracks it or is this all amplified by the ongoing pandemic and the fact that there was some stockpiling of goods before bracks it became official at the beginning of this year what are you seeing here. well i can sort of the say that the shard in friday on part of those people who oppose brecht's it is sort of palatable on this and they're pointing this is saying look i told you so this is what was going to happen it was going to be terrible for the economy but i think as you rightly point out there's quite a few factors control a should in here that make it a bit difficult to compare 1st of all exports and imports typically do drop between december and january so there's a frenetic end of year activity and you generally see a drop in genuine absolutely normal so we saw that last year something similar quite as big as this the other thing to consider of course is that the u.k.
went into fairly tough lockdown again ingenue so that's going to impact the numbers negatively as well so how does one disassemble that and say how much is bricks it and how much is covert and how much is just the end of year i think it's impossible to do we'll have to wait a few more months as a lockdown is lifted we certain expect the exports and imports to go back up but how much will will remain to be seen so we can't really conclude anything at this stage from these numbers are active you know markets were mostly muted monday after many indices logged their best week in. the travel and leisure sector sector is quite up quite a bit with airlines hotels resorts and cruise lines seeing gains after the passage of that $1.00 trillion dollars stimulus package here in the u.s. and the vaccine roll out finally taking the whole what is your take away from equities is the rollercoaster over this just a temporary blip. no i think the funds just about to begin in terms of. i think i mean what we're seeing what we're seeing here is that the tech stocks are just
got absolutely astronomical valuations i think this market looks very very overvalued we're starting to see inflationary pressures mount or expectations inflation mount so if you look at sort of longer term inflation inflation expectations are going up that's going to put up pressure on long term interest rates and that might very well be very bad for tech stocks so there might be some readjustment but i think a lot of people quite nervous about the levels that we see stocks up and so they'd be very eager to jump out once they start to see some downward momentum and that of course exacerbates it but even those sort of cyclical stocks of those stocks have been really hit very hard by covert 19 the travel stocks you mention hospitality things of that sort i mean there's going to be setbacks there as well and certainly you look at the rest of the world outside of the of the u.s. we haven't seen that much open up happening at so the stocks i think are maybe getting a bit ahead of themselves so i think there's lots of volatility coming in the future there might be a week or 2 where things look a bit boring and tame but then the fun will start again and now to your point how
the u.s. treasury yields fell slightly on monday but the 10 year note of still sitting above 1.6 percent this comes just before the fed's federal open market committee is set to meet tuesday and wednesday of this week as there is and as you just mentioned inflation concerns remain in focus what are investors looking for to come out of these meetings and do you expect policy changes. i really don't expect any policy changes so i expect the fed to either say something like we're not going to touch things and we're going to pursue this policy for as long as is necessary to make sure the recovery is on a very firm footing or something entirely unintelligible the way they have done many times in the past sometimes when you read the minutes of the thread you've no idea what they're actually saying which generally means we're not going to do anything. that will say this federal power has been a bit better about that they've been clear in terms of the direction they're going in and that certainly has reassured markets but no i don't expect they'll be any change in terms of policy i'd be very surprised if they even mention that they
might raise interest rates in the future i think they can keep these ultra low rates for some time to come so what you're saying is we're probably get that standard statement which is we'll continue to monitor inflation and we'll take appropriate action as necessary if necessary we see that pretty much you if you took the words right out of my mouth is exactly what i think we'll hear them say are you got one last point about overinflated stuff here that my payment processor structure has become the most valuable private companies in silicon valley history after its latest fundraising round brought its valuation that $95000000000.00 it's valuation suppresses that of facebook at over before they actually went public now as we just talked about valuations are just skyrocketing in recent years is this the bubble ready to burst or is it nearly $100000000000.00 valuation for stripe is that actually jet. well i think they should hurry up and go public and cash in as quickly as they can and i think small stripers an instant company right so so the payment processing world is actually sort of dominated but some fairly boring
companies people like 1st world pay and global payments people that sort of these are old established companies now is striped doing anything radically different compared to those companies not really they're doing about the same thing and charging about the same market money for what they have done is made it easier to develop web applications using their payments per sec so developers of laughter so they blossomed in the online world not really an entity in the brick and mortar offline world but in the online world a process and that was cooked cause been great for them over the course of the past year with that with the with so many payments going online will that continue if things recover we might see a bit of a readjustment in terms of online payments and people sort of them go to church or high streets are going to buy things they're very narrow the c.e.o. of optimists l.l.c. thank you so much for your insight there. thank you. and finally electric vehicle maker tassel is changing the titles of 2 of its key executives and this isn't your
run of the mill change now according to a filing with the securities and exchange commission the change will affect c.e.o. elon musk and c.f.o. zack kirk corn and the final state effective as of march 15th 2021 the titles of elon musk exact her corn have changed to techno king of tesla and master of corn respectively both will of course retain their titles of c.f.o. and c.e.o. as well as we previously reported in february tesla made headlines after announcing it had bought $1500000000.00 worth of bitcoin now it's unclear why this change has been made other than just like to shake things up a little bit tesla stock was up more than one percentage point throughout the day on the news and that's it for this time you can catch boom bust on demand on the brain a portable t.v. have available on smartphones and tablets through google play and the apple app store by searching portable t.v. or t.v. could also be downloaded on newer model samsung smart t.v.'s as well as roku devices or simply check it out after portable t.v. see you next time a boom bust. i
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france italy germany and now spade suspend the use of the u.k.'s astra zeneca coated vaccine over a blood clot fear. comes despite the e.u. admitting further flaws in its vaccination program with member states outbreak stood the way the shots are being distributed. meanwhile more european countries consider russia's sputnik vaccine with companies prepared to start their own production lines if the shot gets approval in the block. and after a decade of devastating war in syria we look at how the conflict has changed lives and what the future may hold for the country. for exclusive coverage of the war in syria make sure to check out our website r.t. dot com i'll be back.