President Biden needs to negotiate on the debt ceiling.

0:00 Speaker 1 By the way, negotiations on the debt ceiling, it sounds like it’s broken off big time. John. It’s getting very interesting.

0:07 Speaker 2 Larry’s our expert. He’s the country’s leading economist. And what say you, Larry, what’s going on with the Uh? Uh did you negotiation?

0:17 Speaker 3 Well? They met for they met for ten minutes this morning. Oh god, yeah, no, I’ve got my moles who are involved in this thing. And uh. The Democrats continue to pull away from the spending cuts, from the caps, the permitting build John is nonset. The Democrats want better permitting for renewables only, not for fossil fuels. Okay, oh my god,

0:49 you can’t do that. That’s you know, that’s a key part. I mean, fossil fuels are such an important part of American’s economic life and prices of gasoline and electricity and so forth. They’re trying to walk away from the work requirements.

1:06 They don’t want to touch Medicaid, which they must touch. It’s nineteen years old to fifty five with no kids. Able bodied people should work, and they should seek work, and they should do community work, or they should get a job. And the Democrats are walking away. They’re walking away from the spending caps. They don’t want ten years,

1:25 they want one or two years. I mean, Kevin McCarthy put together a terrific bill. It was a common sense bill. It was well received by everybody in the opinion world, the voters. You look at the polls, eighty percent want spending cuts to go along with a dead cealing increase.

1:44 The Democrats are walking away from the caps. But party had five trillion dollar package. Okay, four point eight trillion dollar package. This would stop the frenzied spending that caused inflation. And by the way, spending restraints will help the Federal Reserve.

2:01 It would stop the Fed from raising interest rates. Okay, that’s another point. And so Gard Graves, who’s negotiating for McCarthy and the Republicans, had to walk away from it. They’ve tried to chip away at everything in the and by the by, there’s only one bill. There’s only one plan to raise the debt ceiling, and that’s the McCarthy

2:22 Republican plan. There’s nothing in the Senate, there’s nothing from the White House. So they’re right, they should hold their ground. You know, I say, save America, pass the McCarthy bill, and we’ll see what happens over the weekend. Biden should get back to Washington, d C. And get involved again.

2:41 But right now all bets are off. The meeting today was at Bars, and there’s no more meeting schedule at the present time, there’s no more meeting schedule. When’s the president do back from Japan? I don’t know.

2:54 Speaker 1 I think it’s Sunday. I think it’s Sunday. He was saying, he’s off the Australia part. Larry, what about the fourteenth Amendment? Everybody’s like talking about this, and also the Dow took a hit today too, obviously.

3:06 Speaker 3 Yeah, not too much, a little over one hundred points. The fourteenth Amendment is nonsense, absolutely unconstitutional.

3:13 Speaker 1 Absolutely explain by the way to our listeners what that is to Larry Well.

3:18 Speaker 3 The fourteenth Amendment goes back two hundred and fifty years or something or whatever, two hundred years, but it’s basically says that the death of the American government is sacred and inviolent, can never be defaulted, and we will not default on any debt. By the way, the Treasury gets revenues in every single day, they’ll be able to cover

3:40 the debt, They’ll be able to cover social security and medicare and so forth. But you know, this is an important moment for the economy. You have a chance to restrain spending, to restrain inflation, to allow the Fed to stop raising interest rates. Look, I got one for you.

4:00 The Index of Leading Indicators published by the Conference Board is a tremendous forecasting tool. In April it fell again. It has declined thirteen straight months, thirteen straight months. It’s down now over eight percent year on year. It is predicting a deep recession. And the Democrats don’t want to do anything about it. So this is, you know, disappointing.

4:29 But Kevin McCarthy is a strong guy. His negotiator, Garrett Graves from Louisiana is a strong guy. They have a good bill. They need to stick to their guns and the Democrats have to get serious. And by the way, one last point, Rita, you were there last night. Don Katsumatitis gave a fabulous risk. You heard his riff.

4:49 Speaker 1 I asked, yes, by the way, you did. It was your request and it was a great rift.

4:54 Speaker 3 And on top of that, now I didn’t give it great risk, but that allowed Lindsey Graham to eat his dinner.

5:01 Speaker 1 You know what that’s called that’s called a gentleman, that’s what that’s called.

5:06 Speaker 3 Nobody did nobody better than John Kats because Lindsay Graham’s assistant was saying, he’s got to eat. He’s gotta eat, remember, And I said to him, Lindsay, lindsay, sit down and eat. And he did.

5:17 Speaker 1 By the way, what was your favorite partner of we’ve been talking about that great dinner where John went on the great rift to what was your favorite part of the dinner with the Senator Lindsey Graham that we all had last night.

5:29 Speaker 3 When John Kats and media said we need common sense policies. Look, Lindsey, Lindsey Graham is a clever chap. I agree with him sometimes, not always. Uh. He said some things last night I didn’t buy. But he’s a smart guy. He’s a lower Republican, et cetera, et cetera. It was very time to tend to come and pinchhit. But the more serious thing, in all honesty,

5:57 you have to hear in Washington, d c. They have a chance to really do something good. And it’s not just the spending caps and so forth. It would give the Federal Reserve a chance to stop jacking up interest rates very important. Today. Jerome Powell gave a speech where basically he said he’s inclined to start to pause to

6:20 stop this. I mean, all these indicators are saying recession. The index of leading indicators, I said, the yield curve is upside down, short rates away above long rates. That’s a recession call. Commodity prices are called Look at oil.

6:36 Nobody knows oil better than John. Even with the Saudi production cut, oil is still around seventy bucks. It may fall some more, who knows. So we need to get this done in Washington and start growing the economy and start relieving inflationary pressures. They need to do this. And the Democrats they want to back away, and they can,

6:56 and Kevin McCarthy, I think, will not let them back away.

7:00 Speaker 2 I spoke to Kevin McCarthy this morning around noontime, and look, I think he’s gonna hang tough and he wants to write deal for all Americans.

7:12 Speaker 3 He called me about three o’clock. Johnny, I was here in our offices before the show, and I had the same impressions. He’s going to hang tough. I hope he does. You know, they put out a good product the public supports it, and you can’t move without the House of Representative anyway, and Biden still is in denial that the

7:32 GOP has the House. So let’s do something, as you would say, let’s do something with common sense. Okay, that’s your phrase, and I think that’s exactly what needs to be done here.

7:42 Speaker 2 I agree. We got to bring America back center and stopping all this crap that’s going on.

7:48 Speaker 3 You know, yeah, it is so crazy, Yes, sir, absolutely absolutely. And by the way, one last point, reader, we got to keep the FBI out of the next presidential election.

7:59 Speaker 1 Oh thousand percent. Well, everybody’s antenna’s up. Now.

8:04 Speaker 3 What we learned from the Durham report this week was absolutely incredible. We must these guys tried to interfere in twenty sixteen, they interfered in twenty twenty, couldn’t changed the election. We got to keep them out of the election. It’s this other nonsense than they have to clean house.

8:20 Speaker 1 One thousand percent.

8:21 Speaker 2 Sarry Kudlow, you’re on tomorrow the number one show on Saturday mornings between ten o’clock and one o’clock. I look forward to listening to you. What are you going to talk about tomorrow? On WABC radio dot com.

8:32 Speaker 3 Worldwide throughout the Solar System and the Milky Way.

8:39 Speaker 2 Thank you, Larry, Larry Kudlow. Thanks Lair.

8:43 Speaker 4 Have a great weekend.

8:43 Speaker 1 We’ll be tuning in.

8:45 Speaker 4 Finding great candidates to hire can be like well, trying to find a needle in a haystack. Sure, you can post your job to some job board, but then all you can do is hope the right person comes along, which is why you should try zip recruiter for free.

9:00 ZipRecruiter dot com, slash post. ZipRecruiter doesn’t depend on candidates finding you, It finds them for you. It’s powerful technology identifies people with the right experience and actively invites them to apply to your job. You get qualified candidates fast, so while other companies might deliver a lot of hey, ZipRecruiter finds you what you’re looking for. It’s the needle

9:22 in the haystack cee y. Four out of five employers who post the job on ZipRecruiter get a quality candidate within the first day. ZipRecruiter the smartest way to hire, and right now you can try ZipRecruiter for free. That’s right free at ZipRecruiter dot com slash post at ZipRecruiter dot com slash post, ZipRecruiter dot Com slash post