Jumpin’ Ju-Ju Bones – CNBC Finally Gets It – A Stunned Jim Cramer: “Trump’s Trade Strategy Is Working”…

Hat Tip OverTheMoonbat for making sure we didn’t miss this segment from last week.  This video also explains why Larry Kudlow, Secretary Mnuchin, Secretary Ross and Peter Navarro have tended to spend more time discussing economic policy with CNBC analysts than Fox Business.   However, before watching, it is worth revisiting the background.

For three years CTH has explained the challenge in dealing with, or renegotiating with, the Beijing, China ideology.  Encapsulated thus in 2018:

[…] China has no cultural or political space between peace and war; they are a historic nation based on two points of polarity. They see peace and war as coexisting with each other.

China accepts and believes opposite or contrary forces may actually be complementary, interconnected, and interdependent in the natural world, and they may give rise to each other as they interrelate to one another. Flowing between these polar states is a natural dynamic to be used -with serious contemplation- in advancing objectives as needed.

Peace or war. Win or lose. Yin and Yang. Culturally there is no middle position in dealings with China; they are not constitutionally capable of understanding or valuing the western philosophy of mutual benefit where concession of terms gains a larger outcome. If it does not benefit China, it is not done. The outlook is simply, a polarity of peace or war. In politics or economics the same perspective is true. It is a zero-sum outlook.

If it does not benefit China, it is not done !

Therefore the economic battle must be carefully waged to deliver a series of alternative thoughts in the mind of Beijing – where they view specific action as their best interest.

Any reversal in the current standard of benefit is viewed as a loss; the Chinese will not cede to any losses.  To challenge those who hold this zero-sum position, you must first change the current standard.

This means China must lose first before the negotiations can begin.  The baseline within the negotiation must be reset.  Once the baseline position is reset, then negotiation can be viewed by the Chinese as a gain.  This is the only way to get the Chinese to agree to any terms.

If the baseline losses to China are not currently firmed, such that Beijing and Xi Jinping see their current position as the standard, then President Trump and Bob Lighthizer need to wait longer before engaging.

Big Panda must see their diminished bamboo forest as the natural, current, and diminishing forecast status.  Only then will Panda engage in negotiations.  China must be in a seemingly perpetual stasis of losing before they will contemplate their need to achieve gains.  (read more)

That 2018 CTH discussion explains the basic issue in dealing with China.  Any financial pundit or Wall Street analyst who does not start their review of President Trump’s trade policy from that foundation would always be lost. This disconnect in basic understanding has been frustrating for years.

However, check out this video segment from Jim Cramer.

For the first time a mainstream analyst is finally starting to “get it”.  In a departure from the customary analysis of President Trump’s trade leverage, Mr. Cramer finally sees the Big Picture. WATCH:

.

Hey, it’s progress...

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This entry was posted in China, Communist, Decepticons, Deep State, Dem Hypocrisy, Donald Trump, Economy, European Union, Hong Kong, Legislation, media bias, President Trump, Trade Deal, Uncategorized, US dept of agriculture, US Treasury, USA. Bookmark the permalink.

165 Responses to Jumpin’ Ju-Ju Bones – CNBC Finally Gets It – A Stunned Jim Cramer: “Trump’s Trade Strategy Is Working”…

  1. DanJ1 says:

    I’m waiting for this guy to admit that Trump’s oil and gas strategy is working. Iran is offline, Venezuala is done, the Saudi Oil production is bombed and U.S. gas prices at the pump went down. That didn’t just happen. It was Trump’s policies and regulations.

    Like

  2. DanJ1 says:

    I’m a fan of free markets and as such, like most on the Right, have been against tariffs. They were something the Dems liked because their union overlords gave them hundreds-of-millions every year to back tariffs. Trump is for tariffs so now Dems hate them and Republicans stay silent.
    .
    I admit that Trump is doing it right. Previous politicians have threatened tariffs, using them as a bargaining chip. China knew they were never serious. Trump went all in. Then when they still thought he was bluffing, he doubled down. Then they showed some concern on their faces but didn’t budge, he doubled again. Now he says, hey buddies you better come to the table or in December you’re going to see more pain, they know he ain’t bluffing.
    .
    Let’s not forget that the Chinese devalued their currency which was a silver bullet. Now things they buy – and they buy a lot – cost more. What did Trump do? Slapped on some more tariff’s due to unfair currency manipulation.
    .
    The EU is their biggest trading partner. What’s happening over in Europe? Borderline recession. So China’s biggest partner isn’t buying as much and the things China makes and the things China buys from them are more expensive.
    .
    Last point, while the EU is floundering the U.S. economy is flourishing, Trump knew that a Trade war with China would knock a point off our GDP. You don’t make moves like this when your GDP is bouncing off zero. Trump leveraged our 3%+ GDP to get concessions now. That part was definitely brilliant. As a business man he knows that it’s easy to get loans when you don’t need them and impossible to get a loan when you do. This is the same logic with our GDP. He also knows that you get your best deal when your opposition is weak. Without a deal, China’s prospects are not that healthy.

    Liked by 1 person

  3. Trialdog says:

    I hope the republicans noticed a lot of democratic politicians (my representative included) sided with China in the “trade war.” Literally, my representative stated, and I paraphrase, “we need to end President Trump’s trade war on China.” I’m sure he sided with the Chinese thinking his agricultural constituents would be impressed.
    Trade war. Hot war. Matters not. The democratic party will always support our country’s opponent.

    Like

  4. LBS says:

    Buy AMERICAN.

    Free Markets are one thing if the playing field is LEVEL for all players.

    There is a reason the high end ‘Chinese clone” type products you see on Amazon and Ebay are 1/10 of the price of the real products. (Stuff like Leupold Rifle Scopes and Trijicon RMR sights). The Chinese government also subsidizes all the shipping costs.

    When you buy from them you are actively helping to undermine US companies that the Chinese have stolen “intellectual property” from.

    Back when I was growing up I used to always see “Buy America / Hire American” stickers on cars and on hard hats. Nowadays that would prob be considered racist.

    Like

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