U.K. Ambassador Kim Darroch (pictured left) wrote disparaging diplomatic cables about U.S. President Donald Trump.  The cables were leaked to the media.  Embarrassed by the publicity of the content Ambassador Darroch has resigned after President Trump called him a “pompous fool” and said the administration wouldn’t work with him.

The British Ambassador writes:

“Since the leak of official documents from this Embassy there has been a great deal of speculation surrounding my position and the duration of my remaining term as ambassador. I want to put an end to that speculation. The current situation is making it impossible for me to carry out my role as I would like.  Although my posting is not due to end until the end of this year, I believe in the current circumstances the responsible course is to allow the appointment of a new ambassador.“

Various British politicians are upset about the resignation, saying the U.K. government should have done more to support their embattled Ambassador.  Ultimately this is all a little funny…. The British are going bananas; and President Trump doesn’t care.
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White House National Economic Council Director Larry Kudlow on the U.S.-China trade talks where recontact has been established and now officially restarted. As noted, President Trump is in no hurry; the status-quo is leverage in our favor.
Additionally Director Kudlow discusses the potential benefits of the USMCA trade deal and whether the Federal Reserve should lower interest rates.

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Regarding “inflation” these pundits just don’t get it.  For over three years CTH has been explaining how President Trump’s maganomic policy would reverse three decades of stagnant Main Street economic growth.  The Bureau of Economic Analysis (BEA) consistently confirms our earlier predictions releasing data where inflation is essentially nonexistent.
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Earlier today President Donald Trump welcomed Amir Tamim Bin Hamad Al Thani from Qatar to the White House. Qatar came under considerable scrutiny from President Trump as part of the 2017 mid-east alliance due to their connections to the Muslim Brotherhood, terrorist financing, and regional issues in conflict with Saudi and Egyptian allies.
When President Trump formed the mid-east coalition, & referencing extremist elements, said: “drive them out”, the target audience was Qatar. [Video and Transcript below]

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[Transcript] PRESIDENT TRUMP: Thank you very much. It’s a great honor to be with the Amir of Qatar — a highly respected man, a real leader in a large part of the world and a very important part of the world. And we’ve known each other a long time. We’ve been friends for a long time.
And we’re doing a lot of work now. They’re investing very heavily in our country. They’re creating a lot of jobs. They’re buying tremendous amounts of military equipment, including planes. And they’re buying commercial planes, as you know — very large numbers of commercial planes from Boeing. And we very much appreciate it.
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Last weekend the Daily Mail reported U.K. Ambassador Kim Darroch leveled personal insults against President Trump, the White House and positions the British felt were adverse to their interests in a series of memos dating back to 2017.  Today President Trump responded:

According to additional media reports, British trade minister Liam Fox will apologize to the administration for the inappropriate commentary.

“I will be apologizing for the fact that either our civil service or elements of our political class have not lived up to the expectations that either we have or the United States has about their behavior, which in this particular case has lapsed in a most extraordinary and unacceptable way,” Fox said on BBC radio. (link)

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President Trump delivers remarks recognizing the successful environmental leadership of the administration and America’s role in leading the world.
UPDATE: Video Added

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Gordon Chang appears on Fox News with Charles Payne (filling in for Bartiromo) to discuss the downstream consequences from the G20 meeting between President Trump and Chinese Chairman Xi Jinping.
While he generally frames the picture accurately, lately Chang has been hit or miss.  He accurately outlines how a win/win trade deal is not possible from the perspective of Beijing and their zero-sum outlook; however, he misses on the issues around Huawei; misses the entire hostage dynamic with Kim Jong Un; and then hits again on Hong Kong.

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♦ On China President Trump appears to be working on a complete and total decoupling from the U.S. However, there are steps required in the interim that are in flux (EU and USMCA). Once those matters are resolved we will likely see the decoupling.
♦ On North Korea, just because DPRK state media spouts something doesn’t mean Kim Jong-Un has any control over it.  Beijing has majority influence over DPRK officials.
♦ On Hong Kong, after the Kim hostage rescue; and while the China decoupling is underway; we can expect Hong Kong to be a larger part of Trump’s Indo-Pacific initiative.
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One of the best testimonials to President Trump’s pragmatic perspective is his ability to rise above the ridiculous partisan political attacks and look at issues from a non-political solution-driven perspective.
In the latest example California Governor Gavin Newsom has been antagonizing the administration yet outlines how President Trump, a builder-in-chief, immediately called him and expressed his full commitment to helping California recover from two serious earthquakes that hit the state in two consecutive days. After Newsom toured some of the damaged areas he spoke to reporters at a press briefing.
Governor Newsom said he and President Trump talked about the challenges California has recently face, including two devastating wildfires just six months ago. “There’s no question we don’t agree on everything, but one area where there’s no politics, where we work extremely well together, is our response to emergencies”, Newsom said. “He’s committed in the long haul, the long run, to help support the rebuilding efforts” the governor said of President Trump.

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Before President Trump and Chairman Xi Jinping met in Osaka at the G20, Beijing requested the removal of current tariffs as a contingency for a Trump-Xi meeting.  The tariffs are causing two issues: (1) China is bleeding cash via subsidies to offset the tariffs and retain export position; (2) ancillary manufacturing companies are exiting China to avoid tariffs into the U.S. market.
Understanding how the static dynamic -he intentionally created- was favorable to the U.S., President Trump reasserted that current tariffs were not going to be removed.

After the Osaka meeting, President Trump and Chairman Xi agreed to re-open talks between the two teams with no new tariffs; however, as stated before the G20 summit the preexisting tariffs would remain.
Beijing is increasingly recognizing how the current status is disfavorable to their economy; and asserting that no further trade talks can take place until the U.S. promises to remove all tariffs as part of a completed agreement.

(SCMP) China has insisted that all tariffs on Chinese imports added by the United States during the trade war must be scrapped immediately as part of any deal to end the year-long conflict, which would require the Trump administration to give up its position that some levies remain in place even after an agreement is reached.

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Chopper pressers are the best pressers.  Earlier today President Trump stopped to deliver remarks and answer questions from the assembled media prior to boarding Marine-One.
There is a ton of updated current event information in this chopper presser. [July 4th, Economics, Fed, China, Biden, Wilbur Ross, Census, G20, Trade Deals, etc.]  The full transcript is below the video.

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[Transcript]  THE PRESIDENT: That’s a great crowd of people. We had a phenomenal crowd last night, and it was a fantastic evening for our country. You’re going to have a lot of people being recruited, I think, based on that. We’re going to have a lot of — a lot of people joining our military. And we really needed that.
Our job numbers are so good that the military has a hard time getting people. And I think, really, that you’re going to see a big spike. I’ve already heard it — a lot of people calling in. No place like our military. I think we showed that last night.
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National Economic Council Director Larry Kudlow appears on Fox News to discuss the June jobs report, current Federal Reserve policy, the Trump administration’s trade negotiations with China and former Reagan Economist Art Laffer receiving the Medal of Freedom.
On the China front there’s a weird, seemingly disconnected, dynamic appearing at the surface level within China.  The position of Chairman Xi Jinping and Vice-Premier Liu He seems unusually separated from Beijing messaging (more on that later). Here’s Kudlow:

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