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Mark interviews John Carney, Business Editor at Breitbart News. · The Mark Simone Show

• 0:00
  Speaker 1: Let's get back to the Mark Simone show, Im WoT
• 0:04
  Speaker 1: Hey with us right now. The brilliant John Carney, he writes,
• 0:07
  Speaker 1: he's the editor of Breitbart Business Digest, which the smartest
• 0:11
  Speaker 1: people in business economists. They also the first thing they
• 0:14
  Speaker 1: read every day, the Breitbart Business Digest. And John Karney,
• 0:18
  Speaker 1: you can get it for free. It's a newsletter. It'll
• 0:21
  Speaker 1: come right to you. Just go to Breitbart dot com
• 0:24
  Speaker 1: and where it says newsletters, sign up for the Business Digest.
• 0:27
  Speaker 1: Very important to read that every day. Breitbart Business Digest.
• 0:31
  Speaker 1: John Carney, how.
• 0:32
  Speaker 2: You doing very good, Mark, thanks for having me.
• 0:35
  Speaker 1: Hey, these numbers that came out today inflation, consumer price.
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  Speaker 1: Of course, the fake news will make it look like
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  Speaker 1: disastrous numbers. What's the real story.
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  Speaker 2: So the real story is something everybody knows. Gasoline prices
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  Speaker 2: went up a lot during the Iran war. We have
• 0:51
  Speaker 2: the shutdown of the straight or for moves pushed up
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  Speaker 2: gasoline prices, pushed up oil prices. But beyond that, the
• 1:00
  Speaker 2: numbers are actually really good. Their grocery prices fell zero
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  Speaker 2: point two percent for the month. Overall inflation was up
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  Speaker 2: just zero point two percent. That's actually less than what
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  Speaker 2: was expected. So This is very much confined to gasoline,
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  Speaker 2: other energy products a little bit, but really a story
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  Speaker 2: where you had a lot of inflation of higher prices
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  Speaker 2: in gas that didn't spread to the rest of the economy.
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  Speaker 2: It's not a story of well, we're paying more for gas,
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  Speaker 2: so other prices are going up. No. In fact, the
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  Speaker 2: opposite looks like it's happening. We're getting a better supply
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  Speaker 2: story in a lot of things. Prices aren't moving up.
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  Speaker 2: It's really just gas prices.
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  Speaker 1: And do you have any doubt that gas will come
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  Speaker 1: right back down as soon as the Iran stuff is over.
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  Speaker 2: Yeah, Look, it's already oil prices have fallen dramatically because
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  Speaker 2: of just the ceasefire. We're not even really getting that
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  Speaker 2: much oil through the straight of her mood yet. There's
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  Speaker 2: a lot of unclarity about what's going on there. But
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  Speaker 2: the prices have dropped from we were up near one
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  Speaker 2: hundred and ten dollars barrel down to the into the nineties.
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  Speaker 2: They'll probably drop further that will be reflected in gas prices.
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  Speaker 2: So yes, that's going to come off very quickly, and
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  Speaker 2: I think we're going to see some very good results
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  Speaker 2: in the future when it comes to these inflation numbers. Again,
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  Speaker 2: this is just a gasoline story.
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  Speaker 1: Yeah, so we don't get oil from the Straits or
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  Speaker 1: we really don't need it. I know, are US oil
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  Speaker 1: they raise the prices to match the world price. But
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  Speaker 1: couldn't they not do that? Could they just keep the
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  Speaker 1: price where it is based on the fact that we
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  Speaker 1: have plenty of oil.
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  Speaker 2: Yeah, look, we do have plenty of oil. But actually,
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  Speaker 2: one of the things that is that happens when the
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  Speaker 2: price of oil goes up around the world is it
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  Speaker 2: increases demand from other places for US oil. So Japan
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  Speaker 2: can't get oil right now from the Persian Gulf, so
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  Speaker 2: they're putting in orders for US oil. So that's why
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  Speaker 2: our price went up, is people are turning to US.
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  Speaker 2: I actually think there may be not a permanent increase
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  Speaker 2: to oil prices from this, but a permanent shift in
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  Speaker 2: demand towards the US. Meaning people who were from countries,
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  Speaker 2: whether it's Japan, South Korea, even China that we're getting
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  Speaker 2: a lot of their oil from the Persian Golf now
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  Speaker 2: realize that that's not as secure as they thought, and
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  Speaker 2: they're going to start saying we need to have better
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  Speaker 2: relationships with US oil producers, so that we can get
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  Speaker 2: more of it from there, not be as reliant as
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  Speaker 2: we have been on the Persian Gulf. We do have
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  Speaker 2: a problem in that the environmentalists have basically prevented us
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  Speaker 2: from building a pipeline to the West coast, which would
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  Speaker 2: make it much easier to you know, take our oil
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  Speaker 2: from North Dakota, from Oklahoma, from Texas and bring it
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  Speaker 2: into Asia right now, believe it or not, Mark the
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  Speaker 2: oil goes all the way from the Gulf of Mexico,
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  Speaker 2: all the way around South America and then up to Asia.
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  Speaker 2: It's basically like a nineteenth century whaling ship has to
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  Speaker 2: sail all the way around South America to get all
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  Speaker 2: They can't even get through the Panama Canal because these
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  Speaker 2: oil tankers are so big. In the Panama Canal is
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  Speaker 2: one already, you know, basically stuffed to the gills with traffic.
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  Speaker 2: And number two, it can't take the giant oil tankers.
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  Speaker 2: It can take smaller ones. But the oil goes all
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  Speaker 2: the way around, which is sort of mind blowing that
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  Speaker 2: we're still doing that.
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  Speaker 1: Well, So John Connie, the left yelling and screaming, look
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  Speaker 1: what Trump did to the gas prices. Look what that's
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  Speaker 1: doing to your pocketbook. But didn't the left do that
• 5:02
  Speaker 1: to your energy bill or electric bill used to be
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  Speaker 1: one hundred dollars now it's five hundred. Isn't that what
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  Speaker 1: the left did because of their green schemes and all
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  Speaker 1: that stuff.
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  Speaker 2: Oh yeah, Look, they want energy prices to be high.
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  Speaker 2: They really want oil prices to be high. If they could,
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  Speaker 2: if they could get their way, oil prices and gasoline
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  Speaker 2: prices would be much higher. All you have to do
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  Speaker 2: is look at where oil price, where gasoline is cheaper,
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  Speaker 2: and where it's more expensive. It's super expensive in states
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  Speaker 2: like California that have enormous taxes on gasoline. So they
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  Speaker 2: would And why do they want gasoline to be expensive.
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  Speaker 2: One they want people to stop using fossil fuels. Two.
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  Speaker 2: When you get it, when you get the price of
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  Speaker 2: gasoline to go up, it makes the idea of getting
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  Speaker 2: an electric car a little bit more attractive because you say,
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  Speaker 2: I wouldn't have to pay as much for gasoline. So
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  Speaker 2: they're trying they want these things to be more expensive
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  Speaker 2: so that their green scheme alternatives look relatively less expensive.
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  Speaker 2: It's phony. When they complain about the price of gasoline
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  Speaker 2: going up, they want it higher. And if they get
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  Speaker 2: elected into office. Believe me, what we've seen right now
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  Speaker 2: will be nothing compared to what we will be paying
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  Speaker 2: for gasoline if we have a democratic Congress and a
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  Speaker 2: democratic president.
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  Speaker 1: Well, hey, John Carney, right by business. I just we've
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  Speaker 1: been quoting you all week. We're talking about the stock market,
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  Speaker 1: you know, crashing on the beginning of Iran. It's soaring,
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  Speaker 1: and you called it an overreaction machine. I think that's
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  Speaker 1: the best description of it. It really is, that, isn't it?
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  Speaker 2: Absolutely Look one of the things that happens is investors
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  Speaker 2: basically begin to overreact and then you get a recursiveness
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  Speaker 2: because they see stocks starting to fall and you know,
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  Speaker 2: they sold a little, and then they say, oh, it's
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  Speaker 2: going down even more, I better sell more. So you
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  Speaker 2: do get this over reaction, and then it also over
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  Speaker 2: corrects the other way, where you get these huge jumps.
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  Speaker 2: Over time, it tends to even out. Right, it's in
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  Speaker 2: the short term it can look absolutely nuts. But when
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  Speaker 2: we look back on and say stocks this year or
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  Speaker 2: even last year, right, stockworker did really well last year
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  Speaker 2: even though we had, you know, the Liberation Day reaction
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  Speaker 2: where stocks crashed. So you know, my advice to everybody
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  Speaker 2: is Look, unless you're a you know, like a trader
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  Speaker 2: at a Wall Street firm or a hedge fund, and
• 7:35
  Speaker 2: you know you're trying to trade that little that volatility
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  Speaker 2: that happens, you know, look past that stuff. What's going
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  Speaker 2: to happen over the year is all of these ups
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  Speaker 2: and downs will look very small compared to what the
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  Speaker 2: actual trend of stocks.
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  Speaker 1: Yeah, we went through this with terras remember that stock
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  Speaker 1: market crash, and then we hit all the time eyes
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  Speaker 1: after that.
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  Speaker 2: So that's right, And what the reason is because ultimately
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  Speaker 2: what stocks reflect is the shape is how the economy
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  Speaker 2: is doing. The economy is actually doing quite well. We
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  Speaker 2: have a lot of tailwinds in the economy right now
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  Speaker 2: that are actually stronger than the higher price of gasolin. Yes,
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  Speaker 2: higher price of gasoline is a drag on the economy,
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  Speaker 2: but all of the Trump tax cuts that are hitting
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  Speaker 2: right now, all of the deregulation that's hitting right now,
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  Speaker 2: that's actually propelling the economy forward even stronger than the
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  Speaker 2: higher gas prices are a drag. So I think we're
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  Speaker 2: actually going to see accelerating growth through the year.
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  Speaker 1: Wow, all right, that's a good note to end on.
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  Speaker 1: Very good. John Cornie writes the for Breitbart Business Digests.
• 8:42
  Speaker 1: He's the editor and love reading it every day. Now.
• 8:45
  Speaker 1: The best way to get it you go to Breitbart
• 8:46
  Speaker 1: dot com right, go to newsletters.
• 8:48
  Speaker 2: Yep, go to newsletters. It's totally free. It comes to
• 8:52
  Speaker 2: your inbox every day, and on Friday it's especially fun.
• 8:56
  Speaker 2: We do a kind of lighthearted weekly wrap of everything's happened.
• 9:00
  Speaker 2: So today's a good day to subscribe.
• 9:02
  Speaker 1: Yeah, go go to brightbart dot com, go to newsletters
• 9:05
  Speaker 1: and sign up for the bright Bart Business Digest. It's
• 9:08
  Speaker 1: excellent stuff. And read John Karney every day. You'll really
• 9:11
  Speaker 1: really learn a lot. John Carney, thanks for being with.
• 9:14
  Speaker 2: Us, Thanks for having me, Mark, take care.
• 9:18
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