U.S. Solicitor General D. John Sauer has asked the Supreme Court to accept the case by next week, hear arguments in early November and “expedite” its ultimate ruling “to the maximum extent feasible.” [Appeal Here] with [Expedited Review Request Here]

[SOURCE]

From the request for expedited consideration, “The en banc Federal Circuit’s erroneous decision has disrupted highly impactful, sensitive, ongoing diplomatic trade negotiations, and cast a pall of legal uncertainty over the President’s efforts to protect our country by preventing an unprecedented economic and foreign-policy crisis,” Sauer notes.

Adding comments from Treasury Secretary Scott Bessent, “The recent decision by the Federal Circuit is already adversely affecting ongoing negotiations. World leaders are questioning the Presi-dent’s authority to impose tariffs, walking away from or delaying negotiations, and/or imposing a different calculus on their negotiating positions.”

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Peter Navarro, President Trump’s top trade and manufacturing policy advisor, speaks to pool reporters outside the White House.

Within his remarks about the economy overall, Navarro then breaks down the issues soon to come before the Supreme Court surrounding the use of the IEEPA (International Emergency Economic Powers Act) to enact defensive trade tariffs.

Navarro also addresses the false premise that tariffs create imported inflation.  As reflected in the 2018 tariff outcome, the exporting country absorbs the majority of the tariff impact.  Additionally, the tariff rate is applied to the wholesale price as contracted by the importing company in the USA.   WATCH:

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There are going to be two major stories in 2026 that we will have full context to understand.  Yes, the 2026 midterm politics are going to lead the headlines, but two other issues will have considerable impact.

The first, is the FISA (702) reauthorization, and there is a lot that will surface in the next several months likely to upend the best laid plans of the administrative UniParty [Tulsi Factor].  The second, is the USMCA reauthorization – the end of the trilateral trade agreement, and the structural shift into two separate free trade agreements.

As to the latter issue, while Mexico and Canada are currently in a state of economic flux, only Mexico is preparing to deal with the seismic shift that is about to unfold.  Canada is going to be caught completely off guard.

While Canadian Prime Minister Mark Carney is trotting around Europe trying to establish his relevance amid the pro-Ukraine coalition,  Mexican President Claudia Sheinbaum is spending time focused on her domestic economy.

Mexico is preparing to drop significant tariffs on Chinese imports, a proactive move to position Mexico in advance of the upcoming bilateral discussion.

Sheinbaum knows that right now for every deportation ICE executes, her economy is hit as remittances recede. Simultaneously, for every mile of border wall that is completed, the financial dependency model increases.  President Trump’s leverage in the upcoming bilateral trade negotiation against Mexico increases each day, week and month.

Claudia Sheinbaum is smartly focused on trying to get ahead of the issues, while Mark Carney ignores his vulnerability and is about to make Canada naked to the economic weaknesses created by Justin Trudeau.

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From an initial report of 3.0% to a revised report of 3.3% second quarter growth. [BEA report HERE]  Not a surprise, when we factor in the prediction we presented after the first quarter GDP.

However, it is nice to see the BEA finally admit, “The increase in real GDP in the second quarter primarily reflected a decrease in imports, which are a subtraction in the calculation of GDP.”  I digress.

WASHINGTON (AP) — The U.S. economy rebounded this spring from a first-quarter downturn due to fallout from President Donald Trump’s trade wars.

In an upgrade from its first estimate in July, the Commerce Department said Thursday that U.S. gross domestic product — the nation’s output of goods and services — expanded at a 3.3% annual pace from April through June after shrinking 0.5% in the first three months of 2025. The department had initially estimated second-quarter growth at 3%.

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Treasury Secretary Scott Bessent appears on Fox Business to discuss some very important current issues in the world of finance, banking and trade.

Bessent begins by answering questions about the U.S. government taking equity interests in companies that come to the U.S. for support.  Bessent then notes the potential for the Trump administration to construct a taxpayer stake in Fannie and Freddie, before the Treasury Secretary moves on to talk about the trade issues with India.  WATCH:

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Against the example of the U.S. Government taking a 10% stake in Intel, a private technology company who manufactures microchips, Commerce Secretary Howard Lutnick outlines the parameters where the Trump administration would consider taking a stake in private sector companies.

Secretary Lutnick notes that when a company comes to the U.S. government for assistance or benefit, the government -ultimately the taxpayer- should gain an equity stake in that company.  WATCH:

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National Economic Council Director, Kevin Hassett, appears on CNBC to discuss the 10% govt stake in Intel, the status on U.S. trade agreements and other economic matters of interest. WATCH:

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CTH noted several months ago, end the Marshall Plan for Europe and things will change quickly.

Germany is in a tight economic place as a result of: (1) former leftist Chancellor Olaf Scholz alignment with climate change policy, radically changing the German energy base and driving up costs; (2) the financial support for Ukraine; (3) the financial burden of mass African/ME migration, and (4) the new Trump-era EU tariffs that effectively end the Marshall Plan.

Put all four elements together and the German economic contraction is only forecast to worsen. This is the reality that current German Chanceller Fredrich Merz is facing. Thus, as a non-pretending former businessman, Merz recently told his party and the German electorate that current financial conditions no longer support the expansive entitlement state.

Pensions, benefits and even healthcare are potentially going to be impacted. Germans are not happy.

GERMANY – The German welfare state is no longer financially sustainable, Friedrich Merz said on Saturday. The chancellor argued for a fundamental reassessment of the benefits system as spending continues to soar past last year’s record of €47bn (£40bn).

In a state-level party conference meeting on Saturday, Mr Merz said: “The welfare state as we have it today can no longer be financed with what we can economically afford.”

Once the export champion of Europe, Germany’s economy has slowed dramatically since 2017, with GDP growing by only 1.6 per cent since then versus 9.5 per cent for the rest of the eurozone.

Germany’s economy shrank by 0.2 per cent last year following a 0.3 per cent dip in 2023 – the first time since the early 2000s the economy has retreated two years in a row.

Industrial production fell under the Left-leaning “traffic light” coalition of Olaf Scholz and continues to slide under the new government, with GDP declining by 0.3 per cent in the second quarter of 2025.

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After concerns were raised by congress that Intel’s current CEO Lip-Bu Tan was a venture capitalist investing in Chinese companies, a concern shared by President Trump, apparently things have changed considerably.

Mr. Lip-Bu Tan came to the White House to address concerns about protecting U.S. national security interests. President Trump announces the U.S. government now has a 10% stake in the tech firm.

President Trump (Truth Social) – “It is my Great Honor to report that the United States of America now fully owns and controls 10% of INTEL, a Great American Company that has an even more incredible future. I negotiated this Deal with Lip-Bu Tan, the Highly Respected Chief Executive Officer of the Company. The United States paid nothing for these Shares, and the Shares are now valued at approximately $11 Billion Dollars. This is a great Deal for America and, also, a great Deal for INTEL. Building leading edge Semiconductors and Chips, which is what INTEL does, is fundamental to the future of our Nation. MAKE AMERICA GREAT AGAIN! Thank you for your attention to this matter.”

Intel has been struggling for the past several years, and President Trump has been focused on getting Semiconductor and Chip manufacturing established in the USA, a big national security issue.  The Trump administration has been negotiating a 10% stake in Intel by converting grants the company was awarded under former President Joe Biden.

Obviously, I’m not a big fan of government collaboration with private corporations, but this approach aligns with a very specific national security issue.  This sounds like something Commerce Secretary Lutnick and President Trump would structure as a win/win.

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The Canadian govt led by Prime Minister Mark Carney has completely capitulated to the power and influence of President Trump.

While explaining how the United States has fundamentally changed the entire landscape of global trade, the leader of the Snow Mexicans announces he is dropping all countervailing and retaliatory tariffs against the USA and getting nothing in return.  Total and complete surrender by Canada; there is ZERO upside for Canada – NADA, Zippo, Zilch.

Prime Minister Mark Carney made the announcement, then faced the ire of the assembled media who were furious about the details within the statement.  The Canadian people had been promised an “elbows up” fight to the end. Instead, today they got down on their knees and begged Trump to retain the USMCA.

Complete and utter capitulation by Canada. No digital services taxes. No countervailing duty tariffs. No reciprocity tariffs on Steel and Aluminum. No retaliatory tariffs (reciprocal/baseline). Meanwhile, the USA keeps 50% tariffs on steel and aluminum against Canada, and Canada only gets 25% tariffs against U.S. steel/aluminum.

In addition, Canada has pledged to continue gaslighting their citizens, while wasting time, effort and resources on a hope to retain the USMCA, while refusing to admit to themselves that President Trump intends to dissolve it. WATCH:

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If that recap sounds bad for Canada, trust me – it’s way worse.  Really bad, horrible – terrible even.  So far beyond bad, the light from where horrible starts could not reach the Canadian terrible place for a year.  Not good.  😊

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