Stock markets plunge after Trump’s ‘Tariff Man’ tweet

Stocks took a nosedive on Wall Street as investors worried that a US-China trade truce reached over the weekend wasn’t all it was cracked up to be.

The Dow Jones Industrial Average sank almost 800 points Tuesday.

Boeing and Caterpillar, two major exporters which would have much to lose if trade tensions don’t ease, weighed the most on the Dow.

Bond prices soared sharply, sending yields lower, as traders shoved money into lower-risk investments.

The sharp drop in yields hurt banks because it makes it harder to earn money from lending. JPMorgan Chase sank 4.5 percent.

The S&P 500 lost 90 points, or 3.2 percent, to 2,700.

The Dow dropped 799 points, or 3.1 percent, to 25,027. The Nasdaq fell 283 points, or 3.8 percent, to 7,158.

The markets plunged after President Donald Trump unleashed a threatening tweet Tuesday morning.

“President Xi and I want this deal to happen, and it probably will. But if not remember, I am a Tariff Man,” Trump tweeted.

[New York Post]

Trump: Roger Stone has ‘guts’ for not testifying against me

President Donald Trump on Monday praised longtime associate Roger Stone for refusing to talk to special counsel Robert Mueller, as the president continues to denounce the investigation.

“‘I will never testify against Trump.’ This statement was recently made by Roger Stone, essentially stating that he will not be forced by a rogue and out-of-control prosecutor to make up lies and stories about ‘President Trump,'” Trump wrote on Twitter. “Nice to know that some people still have ‘guts!'”

Stone, who has come under scrutiny in Mueller’s Russia probe for possible contacts with WikiLeaks during the 2016 election, said on Sunday during an interview on ABC’s “This Week” that there’s “no circumstance in which I would testify against the president.” He has denied multiple times that he had any direct knowledge that WikiLeaks was going to release hacked emails from Hillary Clinton’s campaign.

Stone also said Sunday that he has not discussed a pardon for himself or for former Trump campaign chairman Paul Manafort, who was convicted in a financial fraud trial brought by Mueller. The president told the New York Post last week that he has “never discussed” a pardon for Manfort, but “wouldn’t take it off the table.”

“I’ve had no discussion regarding a pardon,” Stone said over the weekend.

Trump on Twitter also continued to denounce Mueller’s investigation into whether Russia colluded with Trump’s presidential campaign, claiming without evidence that the special counsel “only wants lies.”

Stone during his Sunday interview claimed that Mueller wanted him to “bear false witness against” Trump, adding that he “would have to make things up.”

“Bob Mueller (who is a much different man than people think) and his out of control band of Angry Democrats, don’t want the truth, they only want lies,” Trump tweeted Monday. “The truth is very bad for their mission!”

[Politico]

Trump: Cohen should go to prison

President Trump on Monday said Michael Cohen does not deserve leniency for cooperating with special counsel Robert Mueller, arguing that his former personal lawyer should serve a “full and complete” prison sentence.

“He makes up stories to get a GREAT & ALREADY reduced deal for himself, and get his wife and father-in-law (who has the money?) off Scott Free [sic],” Trump wrote on Twitter of Cohen. “He lied for this outcome and should, in my opinion, serve a full and complete sentence.”

Trump sought to further distance himself from his onetime ally by incorrectly claiming that Cohen’s crimes were “unrelated to Trump.”

Cohen in August pleaded guilty to campaign-finance violations, implicating Trump in a dramatic court hearing during which Cohen also pleaded to a slew of financial crimes stemming from his private business dealings.

Last week, Cohen also pleaded guilty to lying to Congress about the Trump Organization’s efforts to build a tower in Russia, a central matter in Mueller’s investigation into alleged ties between the Trump campaign and the Kremlin’s interference in the 2016 election.

The former Trump lawyer asked a federal judge to spare him prison time, in part, because he said he lied to lawmakers in order to “to support and advance [Trump’s] political messaging.” Trump was referred to in court as Individual 1.

His sentencing is scheduled for Dec. 12.

Cohen’s plea has angered Trump, who is facing growing legal and political danger as a result of his former ally’s cooperation.

While he blasted Cohen for turning against him, the president encouraged other people tied up in the Mueller probe to show loyalty.

Trump praised his on-again, off-again adviser, Roger Stone, for refusing to cooperate with investigators.

“He will not be forced by a rogue and out of control prosecutor to make up lies and stories about ‘President Trump.’ Nice to know that some people still have ‘guts!’” Trump wrote of Stone.

Stone has come under scrutiny for his alleged ties to WikiLeaks, which published emails stolen by Russians from Democratic officials during the 2016 campaign.

[The Hill]

Trump says country ‘would save billions’ if Democrats agreed to fund border wall

President Trump on Monday claimed that the country would “save billions of dollars” if Democrats voted to provide billions of dollars in funding to build a wall along the U.S.-Mexico border.

The president went on to repeat a threat to close the southern border and said that immigrants will not be allowed in the “country illegally.”

“Either way, people will NOT be allowed into our Country illegally! We will close the entire Southern Border if necessary. Also, STOP THE DRUGS!” Trump wrote on Twitter.

Trump has previously threatened to shut down the southern border in response to an approaching caravan of Central American migrants.

He has additionally directed thousands of troops deployed to the border, and attempted to curb certain immigrants from being able to claim asylum as the group of migrants trekked toward the U.S. border.

The president revived his calls for a border wall on Monday as Congress grapples over wall funding while trying to pass spending bills and avert a partial government shutdown.

The Senate passed its version of the Department of Homeland Security (DHS) spending bill with bipartisan support over the summer. The measure would allocate $1.6 billion for border security, including fencing.

The White House has since demanded $5 billion for border security, including wall funding, putting Democrats and the president at an impasse.

Trump has threatened to veto a bill that does not include adequate funding, while Senate Minority Leader Charles Schumer (D-N.Y.) has said Democrats oppose spending more than $1.6 billion.

Cracking down on illegal immigration and building a wall along the U.S.-Mexico border has been a hallmark of the Trump administration after focusing heavily on the issue in the 2016 presidential campaign.

Congress has until Dec. 7 to pass seven appropriations bills to keep the entire government funded. The president previously signed five funding bills in September, and agencies covered by those bills would not be affected by a shutdown this month.

Trump told reporters aboard Air Force One en route back from the Group of 20 Summit on Saturday that he would consider approving a two-week extension of government funding to provide more time in the wake of the death of former President George H.W. Bush.

[The Hill]

Trump says he will withdraw from NAFTA, pressuring Congress to approve new trade deal

President Donald Trump said he intends to formally notify Canada and Mexico of his intention to withdraw from the nearly 25-year-old NAFTA agreement in six months. The move would put pressure on Congress to approve his new trade deal with the two U.S. neighbors.

“I’ll be terminating it within a relatively short period of time. We get rid of NAFTA. It’s been a disaster for the United States,” Trump said on board Air Force One after departing Buenos Aires, where he signed the U.S.-Mexico-Canada Agreement with the leaders of those two countries.

“And so Congress will have a choice of the USMCA or pre-NAFTA, which worked very well,” Trump added.

Trump’s comments confirmed what many have long suspected — that he would use the act of withdrawing from NAFTA as a cudgel to force Congress into passing the new deal.

But it also could be seen as an admission that the new agreement is not popular enough to be approved on its own merits, so Trump has to use the threat of disrupting the entire North American economy to round up the votes in Congress to get the deal past the finish line.

While a number of business groups do support the new deal because it contains new provisions on digital trade and strengthens intellectual property rights protections, others are simply relieved that it would keep much of the original agreement in place.

House Democrats, who are likely to hold the key to whether the new agreement is approved, have complained that labor and environmental provisions are not strong enough and have signaled they would like those concerns addressed as part of the implementing legislation.

Trump’s untested move would send the administration and Congress into a legal wilderness. The NAFTA deal includes a provision that allows a withdrawal after providing a six-month notice, but opinions differ on whether the president can act on his own.

Lawmakers passed legislation to implement the original deal in 1993. It’s uncertain whether a withdrawal initiated by the president would repeal the law that put the deal into force.

The president needs to take a look at the Constitution — it gives Congress authority over trade,” Sen. Ron Wyden (D-Ore.) said in September. “The president cannot pull America out of NAFTA without Congress’s permission.”

A 2016 report from the Congressional Research Service seems to be back up that position.

“It could be argued that because international trade is an area of shared constitutional authority, Congress must have a role in any decision by the United States to terminate or withdraw from an FTA,” CRS said.

Others argue Congress ceded authority to the executive branch decades ago that would allow Trump to terminate trade deals. They say Section 125 of the Trade Act of 1974 provides the underlying legal basis for a president to terminate or withdraw from an agreement and revoke any tariff reductions.

[Politico]

Trump calls Russia deal ‘legal and cool’ as Mueller inquiry gathers momentum

Donald Trump, drawn deeper into an investigation into Russian meddling in US elections, has defended his pursuit of a business deal in Moscow at the same time he was running for president as “very legal & very cool”.

Trump appeared rattled this week after Michael Cohen, his former personal lawyer, confessed that he lied to Congress about a Russian property contract he pursued on his boss’s behalf during the Republican primary campaign in 2016.

In a series of tweets from Buenos Aires, where he is attending the G20 summit, Trump recalled “happily living my life” as a property developer before running for president after seeing the “Country going in the wrong direction (to put it mildly)”.

“Against all odds,” he continued, “I decide to run for President & continue to run my business-very legal & very cool, talked about it on the campaign trail. Lightly looked at doing a building somewhere in Russia. Put up zero money, zero guarantees and didn’t do the project. Witch Hunt!”

The president frequently uses the phrase “witch hunt” to belittle Mueller’s investigation, which began in May last year and seems to have gathered momentum in recent days.

Trump repeatedly said during the election campaign that he had no ties to Russia. In July 2016 he tweeted: “For the record, I have ZERO investments in Russia.”

But Cohen, who had already pleaded guilty to campaign finance violations and other financial crimes in a separate case brought by federal prosecutors in New York, on Thursday said he had lied to Congress about a proposed Trump Tower skyscraper in Moscow.

Cohen told two congressional committees last year that the talks about the tower project ended in January 2016, a lie he said was an act of loyalty to Trump. In fact, the negotiations continued until June that year, after Trump had secured the Republican nomination, Cohen admitted.

Cohen told Mueller’s prosecutors that he briefed Trump on the project more than three times. He also briefed members of Trump’s family, had direct contact with Kremlin representatives and considered traveling to Moscow to discuss it.

Trump condemned Cohen after the plea deal was announced, calling him “a weak person” and a liar. As he departed for Buenos Aires, he acknowledged his business dealings with Russia, telling reporters: “It doesn’t matter because I was allowed to do whatever I wanted during the campaign.”

Mueller’s team has brought charges or secured convictions against more than two dozen Russian nationals and entities, as well as several of Trump’s associates, but now the president himself is front and centre. Experts suggested that the walls are closing in.

Jeffrey Toobin, a legal analyst, told CNN: “Today is the first day I actually thought Donald Trump might not finish his term in office. I think this thing is enormous.” An opinion column in the Washington Post was headlined: “Trump should be freaked out right about now.”

Democrats have joined the criticism. Senator Chris Murphy tweeted: “This whole thing has likely been a scam from the start. It’s not some wild coincidence that the Administration’s foreign policy is most inexplicable toward the two countries – Russia and Saudi Arabia – where the Trump family pursues the most business.”

But the White House remains defiant. Trump’s lawyer, Rudy Giuliani, issued a statement that said: “BREAKING NEWS ALERT: Michael Cohen is a liar. It’s no surprise that Cohen lied to Congress. He’s a proven liar who is doing everything he can to get out of a long-term prison sentence for serious crimes of bank and tax fraud that had nothing to do with the Trump Organization.”

He added: “With regard to the hotel proposal in Moscow, the President has been completely open and transparent.”

Trump still owns his private company but had said he would hand over day-to-day dealings to his sons Donald Trump Jr and Eric Trump when he took office in January 2017. He has repeatedly blurred the distinction between business and public office that has been observed by past presidents.

His meeting with the Russian president, Vladimir Putin, in Helsinki earlier this year drew fierce criticism after Trump appeared to side with Moscow’s denials over the findings of his own intelligence agencies. After Cohen’s plea, Trump cancelled his planned meeting with Putin at the G20, citing the Ukraine crisis. Russia’s foreign ministry on Friday said it believed the meeting was canceled over “the US domestic political situation”.

The Cohen confession comes as Mueller’s investigation gathers pace. Trump has provided responses to written questions while the special counsel has accused his former campaign chairman, Paul Manafort, of lying after his own guilty plea.

On Friday, Judge Amy Berman Jackson of the US District Court for the District of Columbia asked Mueller’s team to submit a report next week outlining how they believe Manafort breached a plea agreement struck shortly before he was to have gone on trial on charges including money laundering, failing to register as a lobbyist for the Ukraine government and conspiracy to defraud the US.

The judge set 5 March as a tentative date for sentencing of Manafort, a veteran Washington consultant convicted of financial crimes. Prosecutors also left open the possibility that new charges could be filed against Manafort for lying. “That determination has not been made,” prosecutor Andrew Weissmann said.

In August, a jury in Virginia had convicted Manafort of bank and tax fraud in a separate case. He is scheduled to be sentenced on 8 February for that conviction.

Mueller continues to investigate whether campaign associates had advance knowledge of hacked emails becoming public. Another potential target, Jerome Corsi, has rejected a plea offer and faces a possible indictment.

[The Guardian]

Trump’s new Russia deal defense: Just business as usual

President Donald Trump’s story about his business pursuits in Russia has shifted again.

As a candidate and afterward, Trump said repeatedly that he didn’t have any business dealings with Russia.

“I have no dealings with Russia,” he said shortly before his inauguration in 2017. “I have no deals that could happen in Russia, because we’ve stayed away.”

The truth was more complicated than Trump suggested: He had long relied on Russian investors for projects in other parts of the world, and long sought to develop real estate in Russia.

And now, with former Trump fixer Michael Cohen having pleaded guilty to lying to Congress about efforts to develop a Trump Tower project in Moscow, the president has added a new layer to his take, arguing that it would be perfectly fine for him to have pursued the Oval Office and a high-end business opportunity in Russia at the same time.

“We were thinking about building a building,” he told reporters at the White House on Thursday. “I decided ultimately not to do it. There would have been nothing wrong if I did do it.”

Prosecutors say Cohen admitted that he lied to Congress by saying that the Moscow Trump Tower project was nixed in January 2016 — before the Iowa caucuses — even though he continued to pursue it on Trump’s behalf as late as June 2016. That’s the same month that top Trump advisers took a meeting at Trump Tower in Manhattan with Russian emissaries who had promised to provide political dirt on then-presumed Democratic nominee Hillary Clinton.

There’s no law barring a candidate who doesn’t already hold office from continuing to do business during a campaign — and no requirement to disclose such activity — but veteran lawyers say Trump could have a problem if discussions over the Trump Tower project were tied to potential actions once he won the presidency.

“If additional facts show that the negotiations were part of a broader quid pro quo with Russians/oligarchs (Trump gets tower in exchange for some goodies once he is POTUS), then we are potentially into federal criminal conspiracy and campaign-law violations,” said Kim Wehle, a law professor at the University of Baltimore and former member of independent counsel Kenneth Starr’s Whitewater investigation team, in an email to NBC News.

And Trump’s evasiveness on the question of whether he was seeking business in Moscow during the election raises the question of whether he was worried about political or legal exposure, according to Joyce White Vance, a former federal prosecutor and MSNBC contributor.

“Lying about it certainly raises the implication that Trump himself believed that it was somehow untoward for a candidate to have business ventures with Russia,” she said. “And there could be a variety of legal problems here — tax, emoluments, what have you — that could come back to haunt the president.”

[News]

Trump suggests, without evidence, that Mueller is encouraging witnesses to lie in Russia probe

Donald Trump suggested without evidence on Wednesday that special counsel Robert Mueller and his team are bullying witnesses into lying about collusion in order to be spared punishment, marking the president’s latest attempt to discredit the Russia probe.

The president on Wednesday complained in a tweet that “While the disgusting Fake News is doing everything within their power not to report it that way, at least 3 major players are intimating that the Angry Mueller Gang of Dems is viciously telling witnesses to lie about facts & they will get relief.”

Though Trump did not specify to whom he was referring, Jerome Corsi, an associate of longtime Trump adviser Roger Stone, has been in the news in recent days for his refusal to agree to a plea deal with Mueller’s investigators.

Mueller’s team has investigated Corsi, who is known for his right-wing birther conspiracies, for possibly acting as a conduit between Stone and WikiLeaks founder Julian Assange. In a late-in-the-campaign bombshell, Assange published the emails of Clinton campaign chairman John Podesta that were determined to be stolen by Russian hackers.

Corsi said the special counsel’s team sought to strike a deal on one count of perjury, but Corsi has insisted that he hasn’t lied to investigators and suggested that Mueller’s prosecutors were attempting to coerce him into a plea deal.

Another major player in the Russia investigation, former Trump campaign chairman Paul Manafort, saw his plea deal put in danger this week after Mueller’s team accused him of lying to investigators. Manafort had entered into the deal and agreed to become a government witness following his first trial, but his subsequent lack of cooperation with investigators has renewed murmurs of a possible pardon from Trump.

There is no hard evidence that Trump’s claims are accurate and he neglected to provide proof of his accusations. But he invoked in his tweet the time period when Americans were falsely accused and investigated without evidence of being communists, calling this moment “our Joseph McCarthy Era!”

[Politico]

Trump Shares Image Calling For Mueller and Attorney General Rosenstein to Be Tried For ‘Treason’

President Donald Trump went on an extensive tweetstorm on Wednesday, which included retweeting a meme calling for his political opponents — and current attorney general — to be thrown in jail.

 

As you can see, the image shows former president Barack Obama, former FBI Director James Comey, the Clinton family, and several other Trump enemies behind bars after supposedly being tried for “treason.” Interestingly enough, the image also shows special counsel Robert Mueller and Deputy Attorney General Rod Rosenstein in prison as well.

Trump has ripped into Mueller several times this week, and today, he compared the Russia special counsel investigation to the Joe McCarthy-era Red Scare.

[Mediaite]

Trump floats new auto tariffs in response to GM layoffs

President Trump on Wednesday hinted he may support new tariffs on auto imports as his latest response to General Motors’ decision to shutter U.S. factories and lay off workers.

In a series of tweets, Trump argued that a longstanding 25 percent tariff on light trucks has boosted U.S. auto manufacturers and that the same approach could work for cars.

”If we did that with cars coming in, many more cars would be built here and G.M. would not be closing their plants in Ohio, Michigan & Maryland. Get smart Congress,” Trump wrote.

The president said major auto exporting countries “have taken advantage of the U.S. for decades” and warned “that the president has great power on this issue.”

”Because of the G.M. event, it is being studied now!” he wrote.

The comments follow a report in the German media that Trump is considering slapping a 25 percent tariff on car imports from all countries aside from Mexico and Canada. Trump previously decided to put off auto tariffs on Europe in exchange for the European Union agreeing to purchase more American soybeans.

General Motors’ announcement this week angered Trump, who views the U.S. economy as a reflection of his presidency. The plant closures and layoffs, combined with a sputtering stock market and rising interests rates, appear to have sparked fears of an economic downturn and prompted Trump to lash out.

Trump blamed Federal Reserve Chairman Jerome Powell for the stock-market slide and the GM layoffs, citing his decision to raise interest rates. The president said he also spoke to GM CEO Mary Barra to relay his unhappiness with the decision and threatened to end GM’s federal tax credit for electric vehicles.

GM has said slow demand for cars in the U.S. market, combined with tariffs on Chinese steel and aluminum, have hurt sales and forced the company to shutter plants in Lordstown, Ohio; Detroit-Hamtramck, Mich.; and White Marsh, Md.

The U.S. imposed a 25 percent tariff on imported light trucks in 1964 after France and West Germany imposed tariffs on U.S. chicken, hence the name ”chicken tax.”

[The Hill]

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