It’s funny to watch this transparently predictable stuff play out in real time.
After Pelosi gives the nod for USMCA ratification in the House, Senate Leader Mitch McConnell declares he will not allow Senate support until he extracts his impeachment indulgency fees.
WASHINGTON (Reuters) – Senate Majority Leader Mitch McConnell said on Tuesday the U.S. Senate would not take up the USMCA trade deal next week before congressional recess.
The Republican leader said that trade deal likely will come up in the Senate after the impeachment trial of President Donald Trump. McConnell said the Senate does hope to tackle the defense and spending bills next week. (link)
Too funny…. and way too predictable.
Now, if you are wondering what the heck is going on, it might be worthwhile to remember the question CTH presented about this dynamic last week:
“So what will the White House need to give McConnell… or what will McConnell’s ask be, in order to protect the office of the president? Here’s where you have to remember Tom Donohue and the Wall St priorities.
McConnell (subtext Donohue) would prefer the confrontation with China be eliminated and the tariffs dropped. Is that too big an “ask”? Would the White House sell/trade McConnell a China deal for better impeachment terms?
All of these are questions worth pondering now, because there’s no doubt they are being discussed amid those in DC sitting on the comfy Corinthian wing-backs and gleefully rubbing their hands around a well polished mahogany table” (read more)
Majority Leader McConnell is not about to lose the opportunity to gain his traditional indulgence fees for his legislative work. Passing the USMCA before the Senate trail of President Trump would be giving up leverage. It would be akin to working for free.
Both China and Wall Street have been pouring money into K-Street lobbyists. There’s a boatload of extraction available before any Senator should be forced to take a final position. Slow down there cowboy, the check-writers are lined up at the doors.
First, delaying USMCA benefits China. Beijing has invested heavily in Mitch McConnell and that level of alignment needs to be carefully navigated.
Second, passage of the USMCA hurts the Wall Street multinationals. Those multinational corporations have paid the legislative brokers, K-Street lobbyists, to defend their interests. The multinationals who were ignoring President Trump’s multiple warnings, likely need more time to reposition their assets.
Third, the Wall Street hedgefunds have also paid K-Street. If USMCA assists the decoupling from China (it does), those hedgefunds need time to extract their financial position from the Stock Market. **nudge/nudge, wink/wink** We’re talking “folding money” here. Trillions at stake. If you’re in the market… position yourself accordingly.
All of these trade opportunities are tied together. The impeachment effort is the Alamo for a global financial network. Imagine how much money McConnell can make from each of these issues? (1) Impeachment is worth billions. (2) USMCA is worth billions. (3)U.S-China is worth billions. McConnell cannot move quickly without giving up some major financial opportunities. Slowing it all down makes it easier to indulge.
Each of the three issues above is worth some major cash; each must be taken individually.
….You give me the impeachment rules, and you can take the budget and trade checks, deal?….